What’s the best peanut butter to buy?

Is smooth best, or does crunchy peanut butter add another level to the spread? It’s a debate as old as …

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

Peanut butter on bread slice shot on rustic wooden table

Image source: Getty Images

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

Read More

The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

Is smooth best, or does crunchy peanut butter add another level to the spread? It’s a debate as old as time (or at least since the 1880s, when it was invented). But there’s much more to consider when picking up your PB these days. Protein, palm oil, price, percentage of nuts… the Ps are endless!

But the P-words I’m most mindful of – pennies and pounds – most certainly aren’t endless. And while our number one goal is helping people find the best offers to improve their finances, ‘cheapest’ doesn’t always mean best. Especially when considering the impact our spending can have on the wider world…

Let’s run through what’s on offer.

Protein potential

Peanut butter is often hailed for its high protein content, making it a favourite food amongst fitness enthusiasts and influencers. 

In fact, sports nutrition brand Myprotein has its own range of peanut butter, highlighting the spread as “a great tasting and natural source of healthy protein, carbohydrates and fats”.

Around 30% of each spoonful of the nutty stuff consists of protein, but there are other nutrients involved, such as magnesium and zinc. However, before you start replacing your apple a day with half a jar of peanut butter, be mindful that it’s also high in calories, saturated fat and sodium.

Palm oil

The oil palm tree, native to West & Central Africa but taken to South-East Asia a little over a century ago, yields fruit that produces edible vegetable oil. This palm oil is so versatile that it’s found in almost 50% of packaged goods on our supermarket shelves. It’s healthy, can keep crisps crunchy (due to being stable at high temperatures, i.e. frying), it even helps improve cleaning products thanks to its foaming agent properties.

But this versatility comes at a princely cost: deforestation. With so much demand for this ‘wonder oil’, entire forests were burned to make room for more oil palm trees. And this led to greenhouse gases, destruction of wildlife habitats, and more.

That’s why you’ll see many brands of peanut butter, like Meridian, with “No Palm Oil” prominently placed on its packaging.

Price point

It wouldn’t be a MyWalletHero article if we didn’t cover the price involved in some of these ‘upper tier’ brands, which often cost considerably more than their supermarket own-brand counterparts. 

Another reason that palm oil is so highly sought-after is due to the low production costs involved in sourcing and refining it. Additionally, it acts as a natural preservative in processed foods. When used in peanut butter, this allows for longer shelf lives and mass production. Which in turn can lead to production savings funnelled through to the RRP.

So yes, cheaper peanut butter can be bought in supermarkets. But I’ve made a personal decision to avoid buying peanut butter with palm oil in from now on.

As with many products, it can work out cheaper to buy in bulk. As a result, it’s best for me to buy my peanut butter in BUCKETS. Okay, maybe that’s overdoing it, but I do purchase in kilograms! Why? Well, to give an example, two 1kg Pip & Nut tubs of smooth peanut butter are on offer for £13.98 at the time of writing. That’s £0.70 per 100g, right? Well, its 400g younger sibling retails at £3.50… 87.5p per 100g.

Pick up a peanut

When we say “working for peanuts”, we insinuate that not much money is being earned. So is it true that peanuts are cheap? And does that mean it’s more cost-effective to make our own peanut butter?

Using a BBC Good Food recipe as the basis of my research, one jar would need 400g of blanched peanuts, 2 teaspoons of sea salt flakes, and 2-3 teaspoons of peanut oil.

500g of blanched peanuts might set you back just under £3.80 at the time of writing. Assuming one has sea salt flakes and peanut oil already – and it’s a big assumption, I realise – then in theory you can make your own 500g jar of peanut butter for 75.8p per 100g.

The question is, will it taste as nice as your favourite brand? That’s a question only you can answer… but I’m going to go out on a limb and suggest not!

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

More on Personal Finance

Note paper with question mark on orange background
Personal Finance

Should you invest your ISA in a model portfolio?

Which model ISA portfolios offer both high performance and low fees? Hargreaves Lansdown, Interactive Investor and AJ Bell go under…

Read more »

Economic Uncertainty Ahead Sign With Stormy Background
Personal Finance

Is it time to exit emerging markets investments?

Investors may well be sitting on losses from emerging markets funds. Is it worth keeping the faith for a sustained…

Read more »

Personal Finance

Share trading? Three shares with turnaround potential

Share trading has been difficult in 2022, but which companies have turnaround potential? Jo Groves takes a closer look at…

Read more »

Man using credit card and smartphone for purchasing goods online.
Personal Finance

Revealed! Why Gen Z may be the savviest generation when it comes to credit cards

New research reveals that Gen Z may be the most astute when it comes to credit cards. But why? And…

Read more »

Environmental technology concept.
Personal Finance

The 10 best-performing sectors for ISA investors

The best-performing sectors over the past year invested in real assets such as infrastructure, but is this trend set to…

Read more »

Road sign warning of a risk ahead
Personal Finance

Recession risk ‘on the rise’: is it time for investors to worry?

A major global bank has suggested the risk of a recession in the UK is 'on the rise'. So, should…

Read more »

pensive bearded business man sitting on chair looking out of the window
Personal Finance

1 in 4 cutting back on investments amid cost of living crisis

New research shows one in four investors have cut back on their investing contributions to cope with the rising cost…

Read more »

Image of person checking their shares portfolio on mobile phone and computer
Personal Finance

The 10 most popular stocks among UK investors so far this year

As the new tax year kicks off, here's a look at some of the most popular stocks among UK investors…

Read more »