Inflation rises again: What it means for Jersey consumers 

After more than two years of falling inflation, the latest figures from Statistics Jersey show that the annual rate of inflation has risen to 2.6% in the year to June, up from 2.3% in March.  

This marks the first increase since December 2022 and signals renewed pressure on household budgets across the Island. 

Our Chairman, Carl Walker is concerned about the ongoing strain on household finances. 

“A fifth of Jersey families are struggling to meet their basic needs,” he said. “It continues to be a daily struggle for lots of people in Jersey, and where they are feeling that pinch the most is when they are buying their groceries.” 

The situation in Jersey reflects broader trends seen in the UK, where food prices have risen by 5.2% over the past month compared to last year.  

According to market researcher Worldpanel by Numerator, the average UK household is on course to spend £275 more on groceries this year unless shopping habits change. 

Consumers are increasingly turning to supermarket own-brand products and preparing simpler meals to cut costs. And nearly seven in ten UK dinner plates now include fewer than six components—a sign of how rising prices are reshaping daily life. 

Carl said that price increases in the UK often take time to filter through to Jersey, but that the signs are already worrying. 

“We’ve recently seen UK prices increase by around five per cent, and this usually means prices here will rise again as we move into the autumn,” he said. “We’ve got more and more people in Jersey relying on food banks, and in supermarkets, people are following staff who are reducing items so they can grab them before anyone else.” 

The latest figures suggest that the cost of living is rising faster for those least able to absorb it: 

  • Pensioner households: inflation rose to 3.8% 
  • Low-income households: inflation rose to 3.9% 

 

What’s driving the RPI increase? 

The rise in the Retail Prices Index (RPI) has been largely driven by: 

  • Leisure services (including holidays, entertainment, and sports): up 6.4% 
  • Food (shop-bought): up 4.1% 
  • Household services (school fees, phone bills): up 3.2% 
  • Fuel and light: up 6.3% 
  • Catering (eating out, takeaways): up 4.3% 

While some categories such as housing, household goods, and leisure goods have seen slight price drops, these have not been enough to offset the broader upward trend. 

 

Can the Government do more to support Islanders? 

In an interview on BBC Radio Jersey, Chairman Carl Walker said: “Maybe now is the time for other agencies and potentially the Government to perhaps do more than they are doing at the moment to help.  

“The help given by Government at the moment is targeted towards those who are already in their system, but everybody is feeling the pinch at the moment, so is it time to have a look at what more could be done?

"We’ve seen them bring down prices of doctors’ fees, but is there more that could be done with grocery fees – for example taking GST off fruit and veg to encourage Islanders to eat healthy, fresh meals?” 

 

What can consumers do? 

While acknowledging that not everyone can ‘shop around’ easily, the Council encourages Islanders to stay informed. 

“Consumers are far more educated about this sort of thing than they were 20 years ago,” he said. “They can see prices rising in front of their eyes. 

“We encourage consumers to look at Prices.je and see where the cheapest place is to buy certain items is. Work that into your everyday life—when you’re passing a shop, pop in for the cheapest items which are sold there.” 

He added: “Consumers have a key role to play. If we keep buying the same thing regardless of price differences, supermarkets won’t lower their prices. Shopping around is important.” 

The Jersey Consumer Council continues to monitor price trends. Visit Prices.je for the latest prices. 

More from Latest News

  • Motorists urged to check car finance deals – download our template letters

    It's been announced in the UK that millions of drivers who were wrongly sold motor finance agreements could receive compensation later this year, with average payments expected to be around £829 per person.

  • Why is the price of heating oil rising faster than forecourt fuel?

    In recent weeks, we've been asked often why the price of heating oil rises and falls at a different rate to the price of fuel in our forecourts.

  • The cost-of-living pressures facing Islanders now are immediate and intensifying

    The phrase “cost of living crisis” has been used so often in recent years that it risks losing its impact. But for many Islanders, the reality behind those words is becoming more severe, not less.

  • The cost of Easter eggs: more for less?

    Easter should be a time of celebration, not a season of confusion at the supermarket till. But recent data shows that Easter eggs in the UK are increasingly getting more expensive in price, while often getting smaller in size, and involving more packaging than many consumers think is necessary. With Easter taking place this weekend, we looked at what’s going on...

  • Helping families to make informed choices this Easter holiday

    As families in Jersey get ready for the school Easter holidays, it’s easy to feel the pressure to plan days out, book activities, and keep everyone entertained — all while trying to manage rising household costs. So, to help you out, the Jersey Consumer Council has pulled together a comparison of popular paid activities, alongside a reminder of just how many brilliant free options we have right here on our doorstep.

  • Temporary gas price increase

    Island Energy have advised us that they will be introducing a temporary price increase, as a result of the impact of the current conflict in the Middle East, which is driving up global gas costs.