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a hit, and other costs are still rising. energy prices have doubled or tripled in some cases. the labour cost has been substantial, mainly driven both by the national minimum wage rises, which came in in april, and also because just a shortage of labour, particularly in some of the key skills like hgv drivers and logistics through the supply chain. overall, the costs retailers face are still rising, but at a slower rate. that should mean price rises on shop shelves slow. but with contracts fixed in advance, it takes months to happen. and with those costs still high, overall bills will not be falling soon. however, we are still paying less for many items meat, fish, fruit, vegetables, bread, cheese than much of europe. that is an issue on the farm. they are already struggling to make ends meet. some are quitting the business.
overheads make up most of the rest. as for profit, there is just 3.5 p left to be split between them all. 0ur supply chains are tight. they may struggle to absorb higher costs. profit margins on other items are bigger, but for every £1 you spent in tesco last year, it made about 4p on profit. in sainsbury s, it was more like three p. supermarkets have taken a hit, and other costs are still rising. energy prices have doubled or tripled in some cases. the labour cost has been substantial, mainly driven both by the national minimum wage rises, which came in in april, and also because just a shortage of labour, particularly in some of the key skills like hgv drivers and logistics through the supply chain. overall, the costs are still rising. but at a slower rate. that should mean price rises on shop shelves slow.
an academic study shows that the farmers costs account for nearly £1.50. the retailers and processors overheads make up most of the rest. as for profit, there is just 3.5p left to be split between them all. 0ur supply chains are tight, they may struggle to absorb higher costs. profit margins on other items are bigger, but for every £1 you spent in tesco last year, it made about 4p in profit. in sainsbury s, it was more like 3p. supermarkets have taken a hit, and other costs are still rising. supermarkets have taken a hit, energy prices have doubled or tripled in some cases. the labour cost has been substantial, mainly driven both by the national minimum wage rises, which came in in april, and also because just a shortage of labour, particularly in some of the key skills like hgv drivers and logistics through the supply chain. overall, the costs are still rising.
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