Beautiful Virgin Islands

Sunday, Feb 25, 2024

Inflation hits 11.1% as Rishi Sunak brands it the ‘enemy we need to face down’ - but he has no idea how to solve it

Inflation hits 11.1% as Rishi Sunak brands it the ‘enemy we need to face down’ - but he has no idea how to solve it

Energy bills drive inflation to 41-year high, but Sunak has no idea how solve as PM the economic disaster that he created as the chancellor.
Soaring inflation is the “enemy that we need to face down,” Rishi Sunak warned on Wednesday as it spiralled above 11 per cent.

The Prime Minister stressed that getting it under control was his “No1 priority”.

Official figures showed CPI inflation rose to an eye-watering 11.1 per cent in October, up from 10.1 per cent a month earlier, according to the Office for National Statistics.

Speaking at a G20 summit in Bali, Indonesia, Mr Sunak stressed that inflation was “eating into people’s living standards” and making them poorer.

He added: “It’s the enemy that we need to face down.”

The Prime Minister emphasised that Chancellor Jeremy Hunt would set out a plan to “grip” inflation in his Autumn Statement on Thursday which is expected to include more than £20 billion of tax rises and at least £30 billion of spending cuts to get Britain’s public finances back on an even keel.

He added: “My absolute number one priority is making sure that we deal with the economic situation that we face at home.

“With more news of inflation today, it’s the number one thing that’s on people’s minds.

“It’s the thing that’s causing most anxiety, opening up bills, seeing the emails come in with rising prices. And that’s why it’s right that we grip it.

“And tomorrow the Chancellor will set out a plan that will enable us to do that.”

However, many MPs have warned that Britain is set to be hit with a new wave of austerity and a worsening cost-of-living squeeze as taxes rise.

Economists blame the UK’s economic crisis on Vladimir Putin’s war in Ukraine, the aftermath of the Covid pandemic, Brexit and Kwasi Kwarteng’s disastrous mini-budget in September.

The official figures showed the rate of inflation surged to a new 40-year high, dramatically tightening the cost of living squeeze on millions of families.

Prices have not been rising faster since October 1981. In October alone prices rose by 2 per cent, the same increase as the whole year to July 2021.

The higher than expected increase will pile pressure on the Bank of England to order another a big rise in interest rates next month to rein prices in - but that will raise mortgage costs for homeowners and risk a deeper recession.

It was fuelled by energy prices which jumped to an average of £2,500 under the Government’s Energy Price Guarantee on October 1 following a surge in wholesale gas prices triggered by the Ukraine war.

Supermarket prices have also been rising at double digit rates. On Wednesday, the ONS said food prices were 16.4 per cent higher in October.

City economists hope that the grim October inflation figures marks the high point of the current cycle and that the CPI will now gradually subside. The cost of living has been rising far quicker than wages and benefits, making most people worse off.

On Tuesday, the ONS revealed the average pay fell 3.7 per cent in real terms in the three months to September compared with the CPI. That was the biggest drop in the value of earnings since the financial crisis in 2009. Benefits only went up 3.1 per cent this year but are expected to be increased in line with inflation next year.

The inflation spike comes on the eve of Jeremy Hunt’s Autumn Statement where the Chancellor is expected to unleash a “fiscal consolidation” of up to £60 billion to bring the public finances back under control. This will be through a mix of Government spending cuts and tax hikes.

Mr Hunt, on Wednesday, said: “The aftershock of Covid and Putin’s invasion of Ukraine is driving up inflation in the UK and around the world. This insidious tax is eating into pay cheques, household budgets and savings, while thwarting any chance of long-term economic growth.

“It is our duty to help the Bank of England in their mission to return inflation to target by acting responsibly with the nation’s finances. That requires some tough but necessary decisions on tax and spending to help balance the books.

“We cannot have long-term, sustainable growth with high inflation. Tomorrow I will set out a plan to get debt falling, deliver stability, and drive down inflation while protecting the most vulnerable.”

Shadow Chancellor Rachel Reeves said: “Inflation rising yet again will strike more fear in the heart of families across Britain dealing with soaring food prices, rising energy bills and a Tory mortgage premium on their home.

“British people feel the impact of rising inflation so much more than other countries because 12 years of Tory economic failure has left us exposed to any shocks.

“The potent mix of high inflation and low growth is trapping us in a vicious cycle of stagnation.

“In the Autumn Statement this week, Labour would be focused on making fairer choices for working people who are bearing the brunt of this crisis - and putting forward a real plan to grow our economy.

“Labour’s Green Prosperity Plan, our modern Industrial Strategy and our active partnership with business will get our economy firing on all cylinders.”
Newsletter

Related Articles

Beautiful Virgin Islands
London's Iconic British Telecom Tower Sold To Become Hotel
I have a dream, MLK inspiring speech
Ukraine Arrests Father-Son Duo In Lockbit Cybercrime Bust
Aretha Franklin, Marvis Staples - Oh Happy Day
US Offers $15 Million For Info On Leaders Of Cybercrime Group Lockbit
BVI Freedom Song
Russia Claims UK Cultural Agency Spied for Ukraine
Billy Preston - You Can't Beat God Giving (Live)
Apple warns against drying iPhones with rice
VIRGIN ISLANDS REGGAE CARIBBEAN RIDDIMZ
Alexei Navalny: UK sanctions Russian prison chiefs after activist's death
Oh Happy Day Edwin Hawkins - Anthony Brown w FBCG Combined Choir
German economy is in 'troubled waters' - ministry
'Stand by Me' performed by Karen Gibson and The Kingdom Choir
In a recent High Court hearing, the U.S. argued that Julian Assange endangered lives by releasing classified information.
National Anthem of the British Virgin Islands - Oh, Beautiful Virgin
New video
Hello Dolly
Tucker Carlson says Boris Johnson wants "a million dollars, in Bitcoin or cash, from Tucker Carlson to talk about Ukraine.
for KING & COUNTRY - Amen (Reborn) [feat. Lecrae & The WRLDFMS Tony Wi
Russia is rebuilding capacity to destabilize European countries, new UK report warns
Bob Marley - Get Up Stand Up
EU Commission wants anti-drone defenses at Brussels HQ
Yes He Can
Von der Leyen’s 2nd-term pitch: More military might, less climate talk
What A Friend We Have In Jesus
Global Law Enforcement Dismantles Lockbit Ransomware Operation
Unforgettable
Prince William Urges End to Gaza Conflict
Touch The Hem Of His Garment
UK court to hear Assange's final appeal against extradition to the US, where he faces charges related to his journalistic work—the publication of a classified video in 2010 that exposed US war crimes against humanity.
The Lord's Prayer
About 50-60% kids either chose to be YouTuber or influencer
THE GOD MOVEMENT...BEAUTIFUL BVI
A viral video of Nationals MP Barnaby Joyce lying on a Canberra footpath is celebrated by his media mates.
Siyahamba
European Countries React to Navalny's Death by Summoning Russian Diplomats
Ray Charles And The Voices Of Jubilaton, Oh, Happy Day
Israel has gone ‘beyond self-defence’ in Gaza, says Labour’s Streeting
Ramblin' Rose
English farmers to be offered ‘largest ever’ grant scheme amid food security concerns
Protoje - Who Knows ft. Chronixx
Cameron government knew Post Office ditched Horizon IT investigation
Pressure - Virgin Islands Nice
EU Calls for Immediate Ceasefire in Gaza Conflict
Phil Wickham - House Of The Lord
EU Vows To Hold Putin "Accountable" After Meeting Alexei Navalny's Wife
My God Is Real (Yes, God Is Real)
EU Launches Probe Into TikTok Over Child Protection Under Digital Content Law
The Lion King Circle of Life by LEBO M. — LIVE at the HAVASI Symphonic
The EU Initiates Naval Mission to Defend Red Sea Trade Routes
Louis Armstrong - When The Saints Go Marching In
EU and UK Announce Joint Effort on Migration
Kanye West Sunday Service - hallelujah, salvation, and glory
Brazil's Lula Likens Gaza Operation to Holocaust, Israel Says "Red Line" Crossed
Jonathan Nelson - I Believe (Island Medley
Ministers Confirm Proposal to Prohibit Mobile Phone Usage in English Schools
From The Virgin Islands Sqad Up
Microsoft-backed OpenAI valued at $80bn after company completes deal
Common, John Legend - Glory
‘Alexei would want to tell Russia not to give up fighting’
Anthony Evans vs. Jesse Campbell - If I Ain't Got You
Rwandan Footballer's Dismissal Sparks Concerns Over UK Asylum Plan
I have a dream, MLK inspiring speech
Whisky Challenges China's Baijiu Market During New Year Celebrations
Aretha Franklin, Marvis Staples - Oh Happy Day
Avdiivka - Symbol Of Ukrainian Resistance Now In Control Of Russian Troops
BVI Freedom Song
Putin Critic Alexei Navalny's "Killers" Refusing To Hand Over Body, Say Allies
Billy Preston - You Can't Beat God Giving (Live)
"Historic Step": Zelensky Signs Security Pact With Germany
VIRGIN ISLANDS REGGAE CARIBBEAN RIDDIMZ
"Historic Step": Zelensky Signs Security Pact With Germany
Oh Happy Day Edwin Hawkins - Anthony Brown w FBCG Combined Choir
20 Tech Giants Sign Effort To Fight AI Election Interference Across Globe
'Stand by Me' performed by Karen Gibson and The Kingdom Choir
Joe Biden Accuses Putin of Causing Navalny's Death
National Anthem of the British Virgin Islands - Oh, Beautiful Virgin
Russian opposition leader Alexey Navalny has died at the Arctic prison colony
Hello Dolly
Tucker Carlson grocery shopping in Russia. This is so interesting.
for KING & COUNTRY - Amen (Reborn) [feat. Lecrae & The WRLDFMS Tony Wi
Julian Assange's Wife Warns of His Death if Extradited to US
Bob Marley - Get Up Stand Up
‘A lot higher than we expected’: Russian arms production worries Europe’s war planners
Yes He Can
Greece Legalizes Same-Sex Marriage and Adoption Rights
What A Friend We Have In Jesus
Hungarian Foreign Minister: Europeans will lose Europe, the Union's policy must change drastically
Unforgettable
In Britain Homeowners are receiving CPO’s (Compulsory Purchase Orders) so their homes can be redistributed to migrants
Touch The Hem Of His Garment
Microsoft says it caught hackers from China, Russia and Iran using its AI tools
The Lord's Prayer
Influencers Exploit X Platform for Profit Amidst Israel-Gaza Conflict
THE GOD MOVEMENT...BEAUTIFUL BVI
Former Dutch PM And Wife Die "Together Hand In Hand" Via Duo Euthanasia
Siyahamba
Media Giant Paramount Global, Which Owns CBS News, To Cut 800 Jobs
Ray Charles And The Voices Of Jubilaton, Oh, Happy Day
×