Such has been the deteriorating economic picture over the last six months that today’s headline rate of inflation — 9.1 per cent — can be placed in the “not as bad as feared” box. Yet it still means prices are rising at their highest rate for 40 years, and material conditions are going to get worse before they get better.
The Office for National Statistics (ONS) points to the soaring cost of food, energy and fuel as the driving force behind inflation, as the impact of the pandemic, Russia’s invasion of Ukraine and our own policy choices feed into price increases.
Moreover, the Bank of England anticipates inflation to peak at 11 per cent in the autumn, while for those on lower incomes who spend a greater proportion on food and energy, it has already reached double digits.
At the same time, producer prices have jumped 15.7 per cent in the year to May, which will continue to feed into consumer inflation. Then there is what is to come: October’s energy price cap rise, with analysts predicting a 40 per cent plus increase, sending bills to an extraordinary £3,000 a year.
Inflation, for so long that dog that did not bark, has now returned to hold a central position in British politics. It is driving the rail strikes, contributing to falling living standards and eating away at savings.
After a decade of virtually non-existent real-wage growth punctuated by Brexit and Covid, Britons are not well-placed to take these considerable hits.
Windrush statue
It portrays a man, woman and child, dressed in their Sunday best, standing atop a mountain of suitcases. The new statue, unveiled today at Waterloo Station and designed by Jamaican artist and sculptor Basil Watson, expresses the vision and courage of the Windrush generation — those who migrated to the UK from the Caribbean between 1948 and 1971.
Today also marks Windrush Day, the annual event to commemorate the enormous contribution to British society made by the Windrush generation and their descendants.
It falls in the dark shadow of the Windrush scandal, which led to many facing terrible financial hardship and some even being deported for not holding official documents despite living in the UK legally for decades.
The compensation scheme put in place has continued to face problems, with claimants pointing to major delays. Ministers must ensure that these are urgently addressed. Statues and symbolism are hugely powerful, but must go hand in hand with the financial restitution owed to this generation of pioneers.
Glasto is back
Glastonbury festival is back. For the first time since 2019, revellers will traipse across the country — some even by train — to enjoy performances by Paul McCartney, Billie Eilish and Kendrick Lamar at Worthy Farm.
Festivalgoers are advised to pack for all seasons, with fully loaded portable chargers and dry shampoo. There are at least still some aspects of life Covid has left unchanged.
