Are prices lower in stores compared to a year ago?

Are prices lower than last year? I'll pull fresh inflation data to check.

No — on average, prices in stores are still higher than a year ago, even though the rate of increase has slowed compared to 2022-2023 peaks.

Inflation measures how quickly prices are increasing. It does not necessarily mean prices are going back down.

US national average - overall prices

•According to the U.S. Bureau of Labor Statistics, consumer prices were 3.4% higher in August 2026 than they were one year earlier. The official CPI release for August reported:

> In August, the Consumer Price Index for All Urban Consumers rose 0.4 percent, seasonally adjusted (SA), and rose 3.4 percent over the last 12 months

•The delayed Bureau of Labor Statistics reported that the Consumer Price Index increased 3.0% in September from year-ago levels, compared to 2.9% in August.

•CPI increased 3.0% year over year after increasing 2.9% the prior month

That means the overall price level in September 2026 was 3% above September 2025 - not lower.

Other reports summarized the same September figure as:

> The Labor Department’s Bureau of Labor Statistics reported Friday that the consumer price index rose 3.0 percent year over year in September

Grocery store prices

Grocery prices specifically are also still higher year-over-year:

•USDA data showed grocery-store food prices were about 2.2% higher in August 2026 than one year earlier

•Americans were paying 2.2% more for a basket of groceries compared to a year ago, according to August inflation data

In September:
> Food prices increased 0.2% in September after increasing 0.5% in August. Grocery prices rose 0.3%, while restaurant prices increased 0.1%

Projected USDA data for other months show similar:

•Food prices at supermarkets and grocery stores rose 2.9% in April 2026 compared to April 2025

•USDA data showed grocery-store food prices were about 2.2% higher in August 2026 than one year earlier. Restaurant and other food-away-from-home prices were up approximately 3.4%

Other everyday costs remain higher as well:

•In August 2026, the shelter component of the Consumer Price Index was approximately 3% higher than a year earlier, while rent of a primary residence was up about 2.7%

•Electricity prices were approximately 3.8% higher in August 2026 than one year earlier

•Gasoline prices were up 27.4% over the 12 months ending in August 2026, with gasoline prices rose 4.1% in September alone

Are any prices lower?

Yes, individual categories and individual stores have seen price drops, but they are exceptions, not the average:

•BLS data showed used-car and truck prices were 2.3% lower than one year earlier, and motor-vehicle insurance was 5.1% lower year over year in August

•A Portland basket tracking 14 stores found the average basket is up 7.6% over the past year, but QFC is actually cheaper than it was a year ago, down 8.2% — the largest single-store drop in the panel — followed by Trader Joe's (-4.4%) and Grocery Outlet (-3%)

That illustrates why an individual shopping experience can differ from the national average - your bill depends heavily on what you buy and where you shop. The Bureau reported in August:

•fruits and vegetables were up 3.2% year over year,

•cereals and bakery products were up 2.6%,

•nonalcoholic beverages were up 3.7%

Why it doesn't feel lower

Because prices did not return to pre-inflation levels. As one analysis explained:

> If something climbed from $3 to $4 over the past several years and then increases another 2%, slowing inflation doesn’t return the price to $3

In other words, inflation slowing from e.g. 6-9% to 3% means prices are rising more slowly than before, not that they are falling back to last year's or 2019 levels.

So: Store prices on average are not lower than a year ago in late 2026 — they are about 2-3% higher for groceries and about 3% higher overall.

Citations (3)

1dooragnation.comNot yet classified
Why Does Everything Still Cost So Much? 7 Expenses Americans Are Feeling in 2026
Backs: “No — on average, prices in stores are still higher than a year ago, even though the rate of increase has slowed compared to 2022-2023 peaks. Inflation measures how quickly prices are increasing.”
2bls.govGovernment
Consumer Price Index (CPI) News Release
Backs: “Bureau of Labor Statistics, consumer prices were 3.4% higher in August 2026 than they were one year earlier. The official CPI release for August reported: In August, the Consumer Price Index for All Urban Consumers rose 0.4 percent, seasonally adjusted (SA), and rose 3.4 percent over the last 12 months”
3morningstar.comData and tools
Long-Awaited CPI Report Shows September Inflation at a Lower-Than-Expected 3.0% Annual Rate
Backs: “In August, the Consumer Price Index for All Urban Consumers rose 0.4 percent, seasonally adjusted (SA), and rose 3.4 percent over the last 12 months. The delayed Bureau of Labor Statistics reported that the Consumer Price Index increased 3.0% in September from year-ago levels, compared to 2.9% in August.”