In September, UK inflation advanced to a 40-year high as the rising price of food strained household finances.
The Office for National Statistics reported today that the consumer price index increased 10.1% in comparison to a 9.9% increase in the prior month. According to the most recent figures, inflation has increased back to its July peak and is again at its highest level in the UK since early 1982.
According to the ONS, the increase was caused by a 14.5% increase in food costs from a year earlier, which is the largest increase since 1980.
As it battles to get inflation back to its objective of 2%, the spike raises concerns that the Bank of England will boost interest rates even more quickly.
The restoration of financial stability after the government’s economic plan shook up financial markets over the previous month will also be more challenging for the government’s new Treasury chief, who just assumed office less than a week ago.
The government “will prioritise helping the most needy while delivering wider economic stability,” according to Jeremey Hunt.
Food and energy costs have increased due to Russia’s war in Ukraine and the disruption of oil, grain, and cooking oil shipments. That has added to price rises that began last year as the global economy started to recover from the Covid-19 pandemic..
Inflation in the UK rises to a 40-year high as food prices soar.
About Author
