The rising cost of living is hitting more and more households each month as rapidly rising food and fuel prices sent inflation to another 30-year high of 7% for March. And amid warnings that the situation does not yet take account of the average 54% hike in energy bills that was applied to around 22 million households at the start of April, the situation is predicted to get worse over the coming months.
The Office for Budget Responsibility (OBR) predicts UK inflation will now average 7.4% this year and peak at 8.7% in October as the Ukraine conflict compounds the crisis - the highest level since the oil shock of the late 1970s and early 1980s. Concerningly, other costs are expected to increase this year and most households will have already stripped their budgets back as far as they can go.
The Resolution Foundation recently said each household can expect outgoings to increase by £1,200 this year - along with rising energy, food and fuel bills, there is also a National Insurance rate rise that came into effect this month, the Daily Record reports.
