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Finance

UK's Tate & Lyle to hike prices as Middle East conflict drives costs higher

Published by Global Banking & Finance Review

Posted on November 5, 2026

2 min read

· Last updated: November 5, 2026

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Tate & Lyle to Hike Prices as Middle East Conflict Drives Costs Higher

Company Announcement and Financial Overview

Nov 5 (Reuters) - British food ingredients maker Tate & Lyle said on Thursday it plans to raise prices to help offset higher costs as a result of the extended Middle East conflict.

Key Details

Here are some details:

Cost Inflation and Price Adjustments

• The company said it intends to offset higher expenses by passing through cost inflation as it renews customer framework agreements for calendar year 2027

Financial Performance

Revenue and Earnings

• Tate & Lyle maintained its annual forecast of modest revenue growth and broadly flat operating earnings

Regional Performance

• CEO Nick Hampton said strong first-half growth in Asia Pacific and a robust performance in the Americas helped offset more challenging conditions in Europe, the Middle East and Africa

Profit and Revenue Figures

• Adjusted pre-tax profit fell 18% to £102 million ($137.6 million), while revenue rose 1% to £1.04 billion in the six months to September 30

Acquisition Update

• It expects its $3.6 billion acquisition by US group Ingredion to complete in the second half of calendar year 2027

($1 = 0.7413 pounds)

(Reporting by Krisha Bhatt in Bengaluru; Editing by Jochelle Mendonca)

Key Takeaways

  • Tate & Lyle is adjusting pricing in its renewed customer framework agreements for 2027 to offset cost pressures driven by instability in the Middle East and elevated logistics and commodity costs. (tateandlyle.com)
  • While adjusted pre‑tax profit fell 18% to £102 million in H1, revenue rose 1% to £1.04 billion, and the company maintained its outlook of modest full‑year revenue growth and broadly flat operating earnings. (uk.marketscreener.com)
  • Tate & Lyle’s $3.6 billion acquisition by Ingredion is still slated to close in the second half of calendar year 2027, conditional on court and regulatory approvals. (sec.gov)

References

Frequently Asked Questions

Why is Tate & Lyle raising prices?
Tate & Lyle is raising prices to offset higher costs resulting from the ongoing Middle East conflict.
How will Tate & Lyle implement the price increase?
The company plans to pass through cost inflation as it renews customer framework agreements for calendar year 2027.
Did Tate & Lyle's profits increase or decrease?
Adjusted pre-tax profit fell 18% to £102 million in the six months to September 30.
What is the expected completion date for the Ingredion acquisition?
Tate & Lyle expects the $3.6 billion acquisition by Ingredion to complete in the second half of 2027.

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