- The Treasury is reportedly urging supermarkets to voluntarily limit price rises on essential food items like bread, eggs and milk.
- This initiative aims to combat the cost of living crisis, exacerbated by fears that a potential Iran war could further increase household bills.
- In return for price caps, the government might offer concessions such as easing packaging regulations and delaying healthy food rule changes for retailers.
- Supermarket bosses have criticised the proposal as “desperate” and “mad,” comparing it to failed 1970s price controls and warning it could force them to sell goods at a loss.
- The move comes as millions of UK households are already struggling, with many forced to skip meals due to soaring food prices, and the Chancellor is expected to announce further measures on Thursday.
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