Bank of England governor says food price freezes are ‘unsustainable’
The Bank of England governor, Andrew Bailey, stated that potential supermarket price controls on essential food items are not sustainable in the long term. He highlighted that the ongoing energy shock from the Iran conflict is contributing to higher living costs, despite recent interest rate cuts and falling inflation. Retailers have dismissed the idea of price caps as unrealistic, while the government is in discussions with supermarkets regarding rising inflation concerns.
- ▪Andrew Bailey warned that supermarket price controls are not sustainable long-term.
- ▪The energy shock from the Iran conflict is keeping living costs high.
- ▪Retailers have rejected the idea of price caps on essential food items as unrealistic.
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NewsUKHome NewsBank of England governor says food price freezes are ‘unsustainable’The Iran conflict has been the ‘dominating change in the landscape’ for the economy, Andrew Bailey saidAnna Wise Thursday 21 May 2026 07:56 BSTBookmarkCommentsGo to commentsBookmark popoverRemoved from bookmarksClose popover{"translations":{"comments":"Go to comments","share":"Share","copyLink":"Copy link","bookmark":"Bookmark","removeBookmark":"Remove bookmark"},"showComments":true,"showBookmark":true,"articleId":"CF1:2980568To1","articleMeta":{"url":"https://www.independent.co.uk/news/uk/home-news/andrew-bailey-bank-of-england-food-price-caps-b2980904.html","title":"Bank of England governor says food price freezes are ‘unsustainable’"}}Could a supermarket food price cap help with the cost of living? We…
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