Hard-pressed Inflation in the United Kingdom hit a 40-year high of 10.1% last month, as food costs continued to skyrocket and it was revealed that millions of seniors might face an income squeeze of up to £430 next year due to Liz Truss’ abandonment of her vow to safeguard the ‘triple lock’
The Consumer Price Index inflation rate increased to 10.1% in September from 9.9% in August, according to the Office of National Statistics.
The inflation rate for last month was 0.1% higher than anticipated – and is currently 8% above the Bank of England’s target of 2%.
This morning, the Chancellor of the United Kingdom, Jeremy Hunt, stated that the government will prioritize aid for the most disadvantaged while maintaining broader economic stability.
Typically, the CPI inflation rate serves as the standard for increasing benefits and the state pension, but the government has declined to confirm that payments will maintain pace with inflation.
Mr. Hunt stated, “I am aware that households across the nation are battling with rising pricing and increased energy costs. This government will prioritize assistance for the most disadvantaged while maintaining broad economic stability and fostering long-term prosperity that will benefit all.
The inflation rate has soared this year.
The Consumer Price Index inflation rate increased from 9.9% in August to 10.1% in September, according to the Office of National Statistics. The inflation rate for last month was 0.1% higher than anticipated.
We have taken quick action to protect individuals and businesses from huge increases in their energy bills this winter, with the Government’s energy price guarantee keeping inflation at bay.
The bad news was the result of another unexpected U-turn by the prime minister, as Downing Street warned she was no longer committed to increase pensions in line with inflation, despite having promised to do so just two weeks prior.
It stated that the Prime Minister was now ‘not making guarantees on individual policy areas’ prior to the Halloween Budget, when ministers must find £40 billion in savings.
Director of economic statistics at the ONS, Darren Morgan, stated, “After a minor decline last month, headline inflation returned to its summertime peak.”
The surge was led by continued rises in food prices, which witnessed the highest yearly increase in over four decades, while hotel prices rose after decreasing at this time last year.
‘These increases were largely offset by ongoing declines in the cost of gasoline, with airline rates decreasing more than normal for this time of year and second-hand automobile prices increasing less sharply than last year’s substantial gains.
While expenses are still rising at a historically high rate, they are beginning to climb more slowly, with crude oil prices decreasing in September.