Food Fight Hidden From View Muddies BOE Rates Debate
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U.K. supermarkets may be masking the true scale of price discounting, complicating the task facing policy makers as they debate how long to keep interest rates at a record low.
Under pressure from German discounters Aldi and Lidl, the so-called big four grocers are battling for business by cutting prices. What government statisticians fail to capture are special deals such as three-for-two offers and vouchers offering money off fuel if shoppers collect enough loyalty points.