Consumers accuse manufacturers of ‘skimpflation’

Barclays reports that card spending on essential shopping grew by just 1% year on year in August, the lowest increase for more than three years, partly due to the slower rate of food price inflation.

The research Barclays carries out alongside the statistical analysis found that 52% of consumers believe some products are being made to lower quality standards to save money.

This development has been labelled ‘skimpflation’.

The most frequently cited examples of perceived skimpflation include crisps, chocolate, sweets, cakes and biscuits.

Barclays statistics indicate that overall card spending was up 2.8% in year to August, much less than the inflation rate of 6.4% and below the figure to July of 4%.

The drop was partly attributed to rainy weather keeping customers off the high street.

The Barclays figures, which are combined with consumer research, also reveal that 17% of consumers are already saving for Christmas, with 31% expecting the holiday season to be more expensive this year than last.

The research confirmed the trends of shoppers buying budget or own-brand goods over branded items, as well as cutting down on luxuries and one-off treats for themselves (both 52%).

A quarter (26%) are only buying items that are discounted, and 12% are removing some items when they get to the checkout, to avoid going over budget.