Closing post
Time to wrap up.
Here are today’s stories on the UK’s sticky inflation in September:
And the rest of today’s news:
https://www.theguardian.com/business/2023/oct/18/ee-sell-smart-tvs-fridges-kettles-mobile-bt
James Smith, research director at the Resolution Foundation thinktank, has warned the government against freezing working age benefits next year, rather than increasing them in line with inflation.
Folliwing this morning’s news that inflation stuck at 6.7% in September, Smith explains:
“Progress on falling inflation has stalled, for one month at least. It should fall sharply next month to below 5 per cent next, as energy prices fall for most people.
“The latest inflation data tells us about the recent past and also shapes cost-of-living pressures on low and middle income households next year, as it normally used to increase benefits in April.
“Should the government choose not to do this, as it has done seven times since 2010, in order to save money, nine million families across Britain will pay a heavy price.
“Families who receive benefits would see their incomes fall by £460 on average, while many low-income families with kids face much higher income losses, rising to £1,200 for a low income couple with two children.”
Inflation stayed at 6.7% in September, the same as the previous month.
— Resolution Foundation (@resfoundation) October 18, 2023
But what's going on underneath that?
🍔 Food prices actually *fell* last month, so that's not where the inflationary pressure is coming from...
🚗 ...it's fuel prices that are rising. pic.twitter.com/yXllm3OMdn
