The boss of Sainsbury’s has urged the next prime minister to address rising energy costs as food inflation continues to concern shoppers. The boss of the UK’s second-largest grocer repeated his earlier calls for the Treasury to engage with the food industry to assist with rising costs following the war
Maisie Grice
Tuesday 30 June 2026 11:25 am
The boss of Sainsbury’s has urged the next prime minister to address rising energy costs as food inflation continues to concern shoppers.
The boss of the UK’s second-largest grocer repeated his earlier calls for the Treasury to engage with the food industry to assist with rising costs following the war in the Middle East.
His calls come as the UK prepares for a new prime minister, with Andy Burnham widely anticipated to enter No 10 later this summer.
Speaking on Tuesday, chief executive of the grocer, Simon Roberts, argued that the industry has had to deal with a greater burden of costs than other sectors, which a new government needs to address.
He said: “We’ve talked before about the costs of food production, the energy costs, and we would really want to see the government engaging on the key principle of reducing those levies and costs on energy that the food industry faces.
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“Many other heavy use industries don’t face the same.”
Looking to Burnham
The FTSE 100 boss also said he would like to see Burnham introduce “policies that can support confidence and optimism” among shoppers as well as support an increase in hiring, particularly of young people.
Youth unemployment in the UK is at its highest level in a decade, with roughly 735,000 people aged 16 to 24 out of work in the months February to April 2026.
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In the past, both the retail and hospitality sectors were seen as crucial sectors in employing young people, but the hike in energy taxes and national insurance has left many businesses forced to stop hiring.
Roberts also reaffirmed Sainsbury’s commitment to youth employment, with the group employing 140,000 people.
Roberts said: “We have seen a lot of regulatory costs coming to this industry in the last couple of years and I would like to see a real focus on growth.”
Easing inflationary pressures
While fears surrounding food inflation have persisted, Roberts said that while there is “still uncertainty where inflation will go”, it could come in below the Food and Drink Federation’s initial prediction of at least nine per cent by the end of the year.
This comes as food inflation eases slightly despite warnings that prices could jump over the summer as global markets feel the shocks of the closure of the Strait of Hormuz, which clogged both energy and fertiliser.
Shop inflation also stayed unchanged in June, the British Retail Consortium confirmed on Tuesday, staying at 1.2 per cent year on year.
Roberts said: “There is pressure in the system and that causes customers to be more cautious…the most important thing is that inflation doesn’t increase as much as was forecasted earlier this year.
“I think as we look at the rest of the year, inflation is coming under less pressure, which will be really important for customer confidence.”
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