Thursday, July 7, 2022
  • Login
Upgrade
The Southern African Times
  • Home
  • Southern Africa
  • Global
  • Business
    • African Start ups
    • African Continental Free Trade Area
  • Tech
  • Opinion
  • Sports
  • Lifestyle
    • Health
    • Culture
    • Food and Drink
    • Entertainment
  • SAT Jobs
No Result
View All Result
  • Home
  • Southern Africa
  • Global
  • Business
    • African Start ups
    • African Continental Free Trade Area
  • Tech
  • Opinion
  • Sports
  • Lifestyle
    • Health
    • Culture
    • Food and Drink
    • Entertainment
  • SAT Jobs
No Result
View All Result
The Southern African Times
No Result
View All Result
Home Business

UK inflation hits 9%, highest since 1982, amid Russia-Ukraine war

The UK has the highest inflation rate of Europe’s five biggest economies, with soaring energy bills being the biggest inflation driver.

by SAT Reporter
May 18, 2022
in Business, Europe
0
UK inflation hits 9%, highest since 1982, amid Russia-Ukraine war
0
VIEWS

Inflation in the United Kingdom surged last month to its highest annual rate in 40 years, official data show, piling pressure on the government to step up assistance for households facing a worsening cost-of-living crisis.

Consumer price inflation hit 9 percent in April, the Office for National Statistics (ONS) said on Wednesday, surpassing the peaks of the early 1990s recession that many Britons remember for sky-high interest rates and widespread mortgage defaults.

The UK now has the highest inflation rate of Europe’s five biggest economies and almost certainly of the Group of Seven countries, with Canada and Japan yet to report figures for April. Neither is likely to match Britain’s inflation level.

“Countries around the world are dealing with rising inflation,” said UK Chancellor Rishi Sunak, the finance minister.

“Today’s inflation numbers are driven by the energy price cap rise in April, which in turn is driven by higher global energy prices.

“We cannot protect people completely from these global challenges but are providing significant support where we can, and stand ready to take further action.”

The release of the data led to a drop in the value of sterling, which was down 0.6 percent against the United States dollar at 08:16 GMT.

Soaring energy bills were the biggest inflation driver, reflecting last month’s increase in regulated energy tariffs. Knock-on effects from Russia’s invasion of Ukrainemean those bills are likely to jump higher again in October.

An increase in prices charged by restaurants and cafes, as value-added tax rates went back to their pre-pandemic levels in April, also added to the inflation jump last month.

Food prices rose by nearly 7 percent in the 12 months to April, the ONS said.

While the government has said it now has a 22 billion pounds ($27.4bn) package of support for households, much of this is cancelled out by the effect of recent tax increases on workers.

Anti-poverty campaigners called on Sunak to act now, starting with an immediate increase in the value of welfare benefits to match inflation.

“As the price of essentials like food and energy continue to soar, the chancellor’s inaction will make an already desperate situation for many even worse,” said Rebecca McDonald, senior economist at the Joseph Rowntree Foundation, which campaigns on behalf of lower-income households.

A survey published on Tuesday showed two in three people in the UK had kept their heating off when they would normally have turned it on, almost half were driving less or changing supermarkets and just more than a quarter say they have skipped meals.

‘Things to get worse’

On Monday, Bank of England Governor Andrew Bailey, speaking to legislators, said food price rises were a major worry as he apologised for “being apocalyptic for a moment”.

The central bank this month forecast inflation would top 10 percent later this year and investors expect it will add to the four interest rate increases it has implemented since December.

“Things are going to get worse before they get better,” Paul Dales, chief UK economist at the Capital Economics consultancy, said of Wednesday’s data.

Retail price inflation – an older measure that the ONS says is now inaccurate, but which is widely used in commercial contracts and to set interest payments on inflation-linked government bonds – jumped to 11.1 percent last month, also the highest since 1982.

There were signs of further inflation pressure ahead as manufacturers suffered the joint biggest increase on record in the prices they pay for their raw materials, which were up by an annual 18.6 percent, matching March’s high.

Factories increased their prices by 14 percent over the 12 months to April, the biggest jump since July 2008.

Tags: BusinesseuropeUnited Kingdom
Previous Post

Namibia Launches Sovereign Wealth Fund

Next Post

Four Nigerian ministers drop election bid to remain in cabinet

SAT Reporter

Related Posts

Invest more in Africa—Akinwumi Adesina urges keen Irish business community
Business

Invest more in Africa—Akinwumi Adesina urges keen Irish business community

by SAT Reporter
July 6, 2022
JPMorgan warns oil prices could surge 240%
Business

JPMorgan warns oil prices could surge 240%

by SAT Reporter
July 4, 2022
11th World Urban Forum: amplifying the voices of African cities
Business

11th World Urban Forum: amplifying the voices of African cities

by SAT Reporter
July 2, 2022
Key takeaways from CBN’s new cybersecurity guidelines for Other Financial Institutions (OFIs) in Nigeria

Key takeaways from CBN’s new cybersecurity guidelines for Other Financial Institutions (OFIs) in Nigeria

by SAT Reporter
July 1, 2022
10 African countries with the lowest foreign exchange reserves

10 African countries with the lowest foreign exchange reserves

by SAT Reporter
June 29, 2022
Next Post
Four Nigerian ministers drop election bid to remain in cabinet

Four Nigerian ministers drop election bid to remain in cabinet

Premium Content

Botswana’s $7.5 billion pension fund appoints South African administrator

Botswana’s $7.5 billion pension fund appoints South African administrator

June 4, 2021
Here is a timeline on Huge cargo vessel stuck in the Suez Canal

Here is a timeline on Huge cargo vessel stuck in the Suez Canal

March 27, 2021
Congo in talks with China’s Huayou to end dispute over cobalt mine

Congo in talks with China’s Huayou to end dispute over cobalt mine

September 27, 2021

Browse by Category

  • African Continental Free Trade Area
  • African Start ups
  • Algeria
  • Analysis
  • Angola
  • Asia
  • BOTSWANA
  • Botswana
  • Burkina Faso
  • Burundi
  • Business
  • Business
  • Cameroon
  • Central Africa
  • China
  • Climate Change
  • Climate Changev
  • Congo Republic
  • COVID 19
  • Culture
  • Democratic Republic of Congo
  • Eastern Africa
  • Egypt
  • Entertainment
  • Environment
  • Ethiopia
  • Europe
  • Fashion
  • Finance
  • Food
  • Food and Drink
  • Foods
  • Ghana
  • Global
  • Guinea
  • Health
  • Immigration
  • in Southern Africa
  • International news
  • Just In
  • Kenya
  • Lesotho
  • Libya
  • Life Style
  • Lifestyle
  • Malawi
  • Malawi
  • Mali
  • Markets
  • Middle East
  • Mozambique
  • Namibia
  • Nigeria
  • North Africa
  • Opinion
  • Politics
  • Rwanda
  • Senegal
  • Seychelles
  • South Africa
  • South Sudan
  • Sports
  • Startup Africa
  • STOCK EXCHANGE
  • Tanzania
  • Tech
  • Togo
  • Travel
  • Travel
  • Tunisia
  • Uganda
  • Uncategorized
  • West Africa
  • World
  • World
  • ZAMBIA
  • Zambia
  • ZIMBABWE
  • Zimbabwe

Browse by Tags

africa African business news Africa New Africa News african footballer African investments African manufacturing industry african markets African news African start-up banking Business China Classic Content currency Explore Bali Finance football Life Style Markets Market Stories Namibia news Nigeria oil and gas Oilandgas Opinion Pandemic Politics Premium reserve bank of Zambia Russia South Africa Southern African News sports Stay Home Travel United Stated Vaccine Work From Home Wuhan Zambia Zimbabwe Zimbabwe Harare Manufacturing Africa Employment creationn

WHO WE ARE

The Southern African Times is a regional bloc digital newspaper that covers Southern African and the world news. The paper also gives a nuanced analysis on news and covers a wide range of reporting which include sports, entertainment, foreign affairs, arts and culture.

Facebook Twitter Youtube Instagram Rss

Copyright © 2022 The Southern African Times | Powered by The Southern African Times

Privacy Policy

Terms and Conditions

  • Home
  • Southern Africa
  • Global
  • Business
    • African Start ups
    • African Continental Free Trade Area
  • Tech
  • Opinion
  • Sports
  • Lifestyle
    • Health
    • Culture
    • Food and Drink
    • Entertainment
  • SAT Jobs

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?