Greggs has confirmed another round of price increases on its breakfast and lunch deals, as the high street bakery chain warns that ongoing conflict in the Middle East could drive costs higher. Boss Roisin Currie stated that there are no immediate plans for further rises, but cautioned that persistent geopolitical tensions may lead to additional price adjustments later this year or into 2027.
Price Changes Already in Effect
The two-part breakfast deal, consisting of a roll and a drink, has risen from £3.15 to £3.25, following a previous increase from £2.95 in October. The core lunch deal now costs £4.25, while the “big deal” — including a main, side, and drink — has increased to £5.25, up from £5 when introduced last September. These changes have already been implemented across Greggs’ 2,759 shops.
Earlier this year, Greggs raised prices on several menu items, including its popular sausage roll, which increased by 5p to £1.35 in most stores, and a regular latte, which went up 10p to £2.25. At that time, the company held the line on meal deals, but the latest adjustments reflect ongoing cost pressures.
Impact of Middle East Conflict
Greggs anticipates a cost increase of around 3% over 2026, driven largely by the war in the Middle East, which has caused global shortages and price hikes across various products. The company has taken steps to mitigate the impact by securing fixed-price energy and fuel deals, as well as purchase agreements for food and packaging. However, Ms Currie warned that if the conflict persists, inflationary pressures could eventually be passed on to customers.
“We don’t see it in the coming months, but we do see towards the end of the year and into next year, as the conflict goes on, then there will be an inflationary increase on our costs,” she told the Press Association. “Where significant inflation comes through to any businesses then that does get passed through at some point to the customer. We work really hard to protect our customers and make sure that we offer great value.”
Sales Growth and Customer Trends
Despite the price rises, Greggs reported a healthy increase in sales, with company-managed shops seeing a 2.5% rise in the first 19 weeks of 2026 compared to the same period last year, accelerating to 3.3% in the most recent 10 weeks. Ms Currie noted that customers remain “worried” about the uncertain geopolitical environment and are focused on stretching their budgets, which benefits Greggs as a lower-cost food chain.
The company has introduced new menu items to attract customers, including a chicken roll as an alternative to the sausage roll, and a range of matcha drinks that appeal to younger consumers. It has also expanded its healthier offerings, such as salads and protein-rich foods, with a new chicken Caesar salad launched last week. “We are following the trends that the consumer is looking for,” Ms Currie said.
Expansion Plans
Greggs continues to grow its estate, having opened 41 new shops in 2026 while closing 21, with a target of 120 net openings for the year. The company also announced that its only international outlet will open at Tenerife South airport later this month, aiming to capitalise on the millions of passengers passing through the travel hub annually.
