Are prices lower in stores compared to a year ago?
No, overall prices in stores are not lower compared to a year ago; they are generally higher, though inflation has moderated and some specific items or promotions are cheaper.[1]
US Overall and Grocery Prices (Latest Data as of August 2026)
According to the US Bureau of Labor Statistics (BLS) Consumer Price Index (CPI):
This means a typical grocery basket costs more than it did in August 2025. Grocery prices remain substantially higher than pre-pandemic levels (around +32% since early 2020).[3]
Category breakdowns (food at home, Aug 2025–Aug 2026) show mixed results but a net increase:[2]
Some individual staples (e.g., certain produce, eggs, or dairy items) are cheaper than a year ago, while others like beef, coffee, or beverages are more expensive.[4]
Retailer Actions and Shopper Experience
Retailers (Walmart, Aldi, Kroger, Costco, etc.) are actively cutting prices on select items, increasing promotions, and emphasizing private-label/store brands to attract price-sensitive shoppers amid softer demand. Examples include:
These efforts mean some shelf prices and deal prices are lower, and shoppers using sales, coupons, or switching brands can offset increases. However, the average basket and official indexes still show higher prices overall. Food-away-from-home (restaurants) is up more (~3.4%).[7]
USDA forecasts continue to project modest grocery price increases for 2026 (around 2.4% for food at home).[8]
Other Context
In short: Prices have stopped rising as rapidly as in 2021–2023, and aggressive discounting helps on specific items, but stores are not broadly cheaper than a year ago. Your personal experience will vary by location, store, shopping habits (e.g., sales vs. full price), and basket composition. Check current local prices or apps for deals, as promotions are widespread. Data is primarily US-focused from BLS CPI (most recent comprehensive official source); figures can lag slightly and vary regionally.
Citations (11)
- https://www.bls.gov/news.release/cpi.nr0.htm
Backs: “No, overall prices in stores are not lower compared to a year ago; they are generally higher, though inflation has moderated and some specific items or promotions are cheaper.”
- https://www.bls.gov/news.release/cpi.t01.htm
Backs: “Food at home (groceries): Up 2.2% YoY (unchanged month-over-month in August).”
- https://americandefault.org/statistics/grocery-price-increase-since-2020/
Backs: “Grocery prices remain substantially higher than pre-pandemic levels (around +32% since early 2020).”
- https://www.al.com/news/2026/09/grocery-costs-remained-flat-in-august-but-are-still-more-expensive-in-2026.html
Backs: “Some individual staples (e.g., certain produce, eggs, or dairy items) are cheaper than a year ago, while others like beef, coffee, or beverages are more expensive.”
- https://www.webpronews.com/grocers-cut-prices-first-as-shoppers-hunt-bargains-on-every-aisle/
Backs: “Aldi rolling out tens of millions in discounts, with claims that about one-third of its assortment is cheaper than a year ago.”
- https://www.bostonglobe.com/2026/07/09/business/consumers-spending-grocery-prices/
Backs: “Targeted rollbacks on items like produce, meats, snacks, and staples at major chains.”
- https://www.grocerytradenews.com/us-grocery-inflation-august-2026/
Backs: “However, the average basket and official indexes still show higher prices overall. Food-away-from-home (restaurants) is up more (~3.4%).”
- https://www.grocerytradenews.com/usda-grocery-price-forecast-september-2026/
Backs: “USDA forecasts continue to project modest grocery price increases for 2026 (around 2.4% for food at home).”
- https://www.bls.gov/news.release/charts/cpi-cpi_rc_1cpibycat.stm
Backs: “Core goods inflation is low (commodities less food and energy ~+0.7% YoY in recent data), with some categories like used vehicles down, but this does not reverse the overall picture.”
- https://uk.finance.yahoo.com/news/shop-price-inflation-slows-retailers-230100462.html
Backs: “Shop price inflation was +1.4% YoY in September 2026, slowed by promotions.”
- https://text.npr.org/nx-s1-5241014
Backs: “Earlier tracking (e.g., NPR’s multi-year Walmart basket) showed very low single-year increases or many stable/cheaper items in prior periods, but cumulative post-2020 gains remain large, and current official data confirms ongoing (if milder) increases.”