The price of wine is expected to rise sharply next year as shops begin passing on rising costs to customers.
Many wine sellers have already been trying to absorb these costs to keep prices down for consumers, but are now at a tipping point.
The rising cost of glass bottles and labels are among the problems faced by retailers.
One supplier told The Grocer : "From January 1 you’re going to see big changes. I think price increases will be advised over the next four to six weeks and you’re going to see that translating to changes in retail pricing from the beginning of next year."
Sources say wine sellers have been reluctant to be the first firm to pass on these increases, as they think consumers won't be happy.
The problem is worsened because most wine-making regions have suffered extreme weather events that have harmed grape harvests.
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This includes fires in Australia, southern Europe and the US.
However, the price of sparkling wine is due to fall from 2023 when the government cuts tax on the drink.
Last month chancellor Rishi Sunak said the wines were "no longer the preserve of wealthy elites" and their duties would be reduced to the same level as still wines, ending an "irrational" 28% duty premium.
Shoppers have already been warned to brace themselves for higher prices in the run-up to Christmas.
Trade body the British Retail Consortium says shops are having to pass on rising costs such as higher wages and supply chain issues.
BRC chief executive Helen Dickinson said: “Three in five retailers expect prices to increase in the run-up to Christmas.
“The ongoing labour shortages are making the situation worse.
“Retailers continue to do all they can to ensure value for money and are looking to work with Government to find a long-term solution to these shortages, otherwise it is the British consumer, already [facing] higher energy bills this winter, who will suffer the consequences.”
Demand for turkeys is also soaring ahead of Christmas as shoppers brace for festive food shortages, experts warn.
Frozen turkey sales has almost doubled, according to analysts at Kantar, suggesting that Brits are stashing them in the freezer in case they can't find any closer to Christmas.
Kantar also said frozen stuffing sales are up by a fifth, while Iceland said it had seen a 400% increase in turkey sales and a three-fold hike in frozen party food purchases.
Food experts have told shoppers they should consider buying Christmas dinner in advance and storing it in the freezer if they want to avoid going without.
Iceland managing director Richard Walker said the supermarket's Christmas website had gone live a month earlier than 2020 following customer demand.
Aldi has also reported soaring sales of frozen turkeys and Christmas puddings amid fears over a supply chain crisis.
The supermarket is reportedly selling 1,500 frozen crowns a day, while pudding sales are up 45%.
Tesco has also noticed an uptick in frozen turkey sales, while last month frozen turkeys sold out at a number of supermarkets as Brits got ready for Christmas.
The meat crisis is building upon issues caused by a lack of HGV drivers, which has also led to a shortage of fuel at petrol stations and labour shortfalls that could result in a lack of choice come the festive season.
Some Christmas gifts and foods are expected to be scarce or off the shelves completely.
