Greggs issues important message to fans worried about the price of sausage rolls

Bakery chain Greggs has ruled out any more price rises for the rest of this year as cost pressures on the business ease to the lower end of its expectations

Sausage roll chain Greggs has ruled out any more price rises this year.

The high street giant revealed that its costs were easing more than expected. Previous cost increases have forced Greggs to up prices for customers, and was one reason its takings were 5% higher in the past three months. But boss Roisin Currie said: “We have got no plans to put up prices for this year.”

She added further price rises could depend on increases in the statutory minimum wage next year. Greggs upped prices for some items in July, including 5p on a sausage rolls, despite having previously said it had plans for increases. Despite the benefit for Greggs of higher prices, its sales have slowed over the summer. Ms Currie said July and August was impacted by a “mix of reasons”, although other retailers have cited wet weather.

She also singled out the riots that took place in some towns and cities, with a small number of its stores impacted. Shares in Greggs - which has a stock market value of £3.2billion - fell sharply in early trading on the back of its update.

Trading last month was much better, Ms Currie added. It coincides with the launch of Greggs’ autumn menu, which includes a pumpkin spice latte and salted caramel latte in its seasonal drinks range, and a newly introduced pumpkin spice doughnut.

Ms Currie said consumers were continuing to “think carefully” about their purchases, particularly following a period of uncertainty ahead of the general election. Greggs is on track to open between 140 and 160 new shops this year. At the end of September, Greggs had nearly 2,560 stores, with a long-term aim to get to 3,500.