The average annual shop is €868 more expensive than this time last year, according to the latest grocery inflation figures.

The figures, compiled by analytics company Kantar, suggest grocery inflation is now at a record high of 12.4%.

The company said nearly one-third of shoppers are now struggling to make ends meet – up from 23% in March of this year.

If shoppers do not change what they buy and how they shop, the average annual shop will rise by €868 this year.

Kantar said the average cost of everyday essentials is hitting shoppers particularly hard – with the price per pack of staples like butter, milk and bread now 28% higher than it was this time last year.

Meanwhile, Kantar said supermarket own-label products are benefiting as more and more shoppers look for budget products.

When it comes to luxury items; however, the trends are going in the opposite direction – with sales of branded soft drinks, chocolate biscuit bars and crisps up 5.4%, 10.9% and 6.5% respectively.