LAST UPDATE 09:49
UK inflation soared to a four-decade high in May following massive cost increases in everything from fuel and electricity to food and beverages.
The index stood at 9.1% from 9% a month ago, according to the statistical service. Consumer prices rose 0.7% on a monthly basis, from 2.5% in April.
While the rise was smaller than in previous months, the data still underscore the scale of the UK inflation crisis.
Things will get worse later this year, when another rise in energy prices begins, with the Bank of England predicting that price increases will soar by more than 11% in October.
Rising inflation is putting further pressure on central bank members to reduce the burden on households, complicating the Bank of England’s work, according to a leading KPMG economist.
The Bank of England said last week that inflation was likely to remain above 9% in the coming months before peaking slightly above 11% in October, when regulated household electricity bills are set to rise.
The British government is doing everything possible to combat the rise in prices, said Finance Minister Risi Sunak in response to the announcement of the data.
Food and non-alcoholic beverage prices rose 8.7% year-on-year in May, the biggest rise since March 2009, making it the biggest driver of inflation in the previous month.
Source: Capital
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