Four supermarkets cut price of milk in boost for hard-pressed families

Tesco, SuperValu, Lidl and Aldi announced they would all reduce the price of two litres of milk by 10c in what is the first reduction in the price of milk for many years. It was described as a move to “shield customers from price increases”.

A Tesco Ireland spokesperson said the company had “confirmed it will reduce the consumer retail price on its two-litre fresh milk by 10c”. This followed identical reductions from Lidl and then Aldi. Lidl said it was the first time the price of milk has been reduced in its stores in more than 14 years.

SuperValu said last night that the retail price of SuperValu’s 2ltr own brand fresh and low-fat milk will reduce by 10c from €2.29 to €2.19 from Saturday 29 April.

The price reductions will be welcome news for shoppers as surging food prices continue to keep the rate of inflation high.

Natasha Adams, CEO of Tesco Ireland, said: “With household budgets under increasing pressure, we are absolutely committed to helping our customers, by keeping a laser focus on the cost of the weekly shop”.

Aldi acknowledged the “extremely challenging backdrop” for its customers as it took the move, which came after Lidl said its price reduction would pass on €2.7 million in savings directly to its shoppers in Ireland.

Policy and council adviser for the Consumer Association of Ireland (CAI), Dermott Jewell, said: “Milk is a very basic staple and what every home needs. This is a positive move.

“This is the beginning, hopefully, of a game changing of what’s been going on with pricing for almost two years.”

Prices rose by 6.3pc in the year to April, the European statistics agency Eurostat and this country’s Central Statistics Office (CSO) said.

This was down slightly on the 7pc harmonised consumer price index increase recorded for this country in March, but it means costs continue to shoot up at a rapid rate for households.

Prices rose by 0.3pc in the month in this country, according to the statisticians. Food prices were up by almost 13pc in the State in the year to April, after rising by 0.5pc in the month.

Corporations boosting their profit margins have been cited by the likes of the European Central Bank and other authorities as one of the key factors behind high inflation levels.

CSO statistician Anthony Dawson said: “The latest flash estimate of the Harmonised Index of Consumer Prices (HICP), compiled by the CSO, indicates that prices for consumer goods and services in Ireland are estimated to have increased by 6.3pc in the past year and risen by 0.3pc since March 2023.”

Eurostat will publish flash estimates of inflation for the eurozone for April next Tuesday.

Persistent inflation across the eurozone means there is set to be another interest rate rise announced by the European Central Bank on Thursday.

Two more rate rises could be announced by the ECB by July, market commentators have said.