Shop prices fell again in July as high street stores continued to look to tempt people back through their doors following the coronavirus lockdown.
Data showed that shop prices slid 1.3 per cent last month, as non-food products dropped in value.
The latest BRC-Nielsen shop price index figures represented a slowdown in deflation from June, when prices fell by 1.6 per cent.
Experts said this was driven by a decrease in the number of promotions on products such as electrical and furniture amid “pent-up” demand from customers.
Non-food prices fell by 2.9 per cent in July compared with 3.4 per cent in June, according to the same figures.
Meanwhile, food inflation remained steady at 1.5 per cent in July, the third consecutive month when prices increased at the same rate.
The price of fresh food increased by 0.9 per cent in July as inflation accelerated, although this was offset by a slowdown in inflation for ambient food, which grew by 2.3 per cent for the month.
Helen Dickinson, chief executive of the British Retail Consortium (BRC), said: "Falling prices at tills is good news for shoppers and will hopefully tempt more people on to our high streets and retail destinations.
"This remains a difficult time for the industry as a whole and Government could help to mitigate this by supporting retailers and landlords over rent costs and taking action to boost consumer demand.
"Without this, we may see many more store closures and subsequent job losses."
