Inflation In Britain At The Highest Level Of 40 Years

At present, people are troubled by inflation in many countries of the world including India. From fuel to food and drink, the prices are skyrocketing. At the same time, people in Britain are also troubled by inflation. Britain's inflation rate rose to a new 40-year high of 10.1 percent in July, driven by rising food and energy prices.

Giving information on Wednesday, the Office of National Statistics (ONS) said that inflation based on consumer prices has reached double digits, which was over 9.4 percent in June. That figure is higher than analysts' forecast of 9.8 percent. According to the statement, this increase is mainly due to the increase in the prices of everyday items including food items, energy, toilet paper, and toothbrushes.

Most economists believe that inflation may increase further in the coming times due to rising inflation. The Bank of England says consumer price-based inflation could rise to 13.3 percent in October as natural gas prices rise.

While the administration of outgoing Prime Minister Boris Johnson has promised to assist in lowering fuel prices for millions of Britons this next winter, consumer advocacy organisations are calling for significantly more governmental assistance.

It comes as salary values are declining at a historic rate in Britain, which is experiencing a crisis related to the cost of living. Johnson's replacement, who will take office after him next month and compete with former Finance Minister Rishi Sunak and foreign secretary Liz Truss, will inherit the ailing economy.

Since the end of last year, the Bank of England has increased its benchmark interest rate multiple times in an effort to reduce inflation.