The Department for Work and Pensions has revealed it will not bring forward any uplift to benefits despite soaring inflation. Millions of households face increasing pressure to afford their bills as the UK grapples with rising costs across the board.
Consumer price inflation (CPI) is at a 40-year high after hitting 9.4% in June, according to the Office of National Statistics. It previously hit its highest levels since 1982 in April when it reached 9% before rising to 9.1% in May. This means the prices of products and services in June cost 9.4% more than they did in June 2021. The CPI is calculated by looking at the prices of a variety of items and services and seeing how their prices change over time.
Benefits and pension rates are reviewed in November each year using the CPI figure from September to decide how much to increase payments by. The new rates come info effect each April at the start of the financial year, and in April this year benefits increased 3.1%. There have been calls in recent months for the government to bring forward its regular rates review to help those hardest hit by the cost of living crisis, reports the Daily Record.
