WEB DESK
Rising household energy bills and food prices have pushed British inflation to a 41-year high. The Office for National Statistics (ONS) said on Wednesday inflation figures show prices have risen 11.1 per cent in the year to October, up from 10.1 per cent the previous month.
The United Kingdom is seeing its highest inflation not seen since October 1981. In response to the data, Finance Minister Jeremy Hunt announced tough but necessary tax hikes and spending cuts to control price growth. He is due to outline a new budget on Thursday. The Bank of England had predicted inflation of 10.9 per cent in October in forecasts published this month.
The cost of milk has increased by almost 50 per cent in the past year, the figures showed.
The ONS said that the lowest-income households, for whom energy and food take up a bigger share of spending, suffered an inflation rate of 11.9 per cent while top earners faced a 10.5percent rate. The rising cost of living has been also driven partly by the cost of raw materials.