British Spend More on Food, Drinks for Home

The U.K. consumer is putting more money into food and beverages for at-home consumption.

May 01, 2013

LONDON – Spending on in-home food in the United Kingdom is expected to soar 18% over the next five years, according to Mintel, FoodNavigator.com reports. Non-alcoholic beverage spending will rise 25% during the same time period.

“Food is one essential that people are really unlikely to cut back on,” said Alex Beckett, a senior food analyst at Mintel. “But that isn’t to say that manufacturers have been resting on their laurels during this time. The rate of innovation has been exciting.”

Sales of home baking foods have jumped 84% since 2008 and totaled £410 million last year. “Home baking has been interesting to observe,” Beckett said. “It is a form of leisure activity now, buoyed along by television.”

However, baked goods and bread sales rose a paltry 1.5%. “Cakes and cake bars are not enough of an affordable treat. They lack the functional appeal or health appeal of cereal bars, … which have had rocketing performance over the past two years. I think they are really succeeding with cutting into this area of permissible treating,” he said.

Nuts, crisps (chips) and other salty snacks increased 29% since 2008, reaching sales of £3.3 billion in sales. In the United Kingdom, the unflavored nut category is ruled by private label brands. 

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