UK's Prime Minister Rishi Sunak being out of touch with middle class realities in the UK - this comes after Sunak said that the British economy was looking up and people's household incomes were hugely outperforming expectations.

UK inflation at 10-year-high, says report; PM Rishi Sunak claims economy is looking up | WION

According to recent study, the cost of British essential foods like cheddar cheese, white bread, and porridge oats has increased dramatically since last year. The highest price increase was for cheddar cheese, which went up by an average of 28.3% across Aldi, Asda, Lidl, Morrisons, Ocado, Sainsbury's, Tesco, and Waitrose. According to Which?, the overall rate of food inflation increased further in March, rising to 17.2%% from 16.5% in February.

Prices of British food staples soar by up to 80%, biggest hike on white breads oats

The cost of living crisis continues to impact the British economy and common people despite indications that the inflationary pressures might have been easing.&nbsp;

Recent trends show how common&nbsp;people are suffering. Local reports have mentioned that prices for olive oil, sugar and low-fat milk have surged with food costs.&nbsp;

A report by Bloomberg highlighted the impact of the overall rate of inflation on the price of a full English breakfast. The report states that it will increase.&nbsp;

Referring to its&nbsp;Breakfast Index, the report stated that the average cost of ingredients to make a traditional fry-up soared by more than 22 per cent from a year earlier in January.&nbsp;

The Office for National Statistics (ONS) said in a statement that the UK Consumer Prices Index (CPI) fell to 10.1 per cent in January compared with a rate of 10.5 per cent in December.

Matt Hood, who is managing director of Co-op Food, said prices continued to rise in January as costs for grocers did, which made it "incredibly tough".&nbsp;

He told the BBC's Today programme:&nbsp;"Inflation is the thing that keeps us up at night. Believe it or not we as retailers are trying our hardest not to flow it all through to our customers."&nbsp;

WATCH |&nbsp;Russia- Ukraine war: One year into war, who stands where?

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/russia-ukraine-war-one-year-into-war-who-stands-where-562862/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

For the unversed, this comes as the official data showed on Wednesday that the annual inflation dropped further last month on easing transport costs, however, it remains above 10 per cent.&nbsp;

Sharon Graham, general secretary at major British union Unite, said:&nbsp;"These latest figures show the cost-of-living crisis is still pummelling workers' pay packets. Unite will continue to fight for and win better wages in the face of this crisis," she added in a statement.&nbsp;

(With inputs from agencies)

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

The cost of living crisis continues to impact the British economy and common people despite indications that the inflationary pressures might have been easing. Recent trends show how common people are suffering.

The cost of living crisis continues to impact the British economy and common people despite indications that the inflationary pressures might have been easing. Recent trends show how common people are suffering. Local reports have mentioned that prices for olive oil, sugar and low-fat milk have surged with food costs. A report by Bloomberg highlighted the impact of the overall rate of inflation on the price of a full English breakfast. The report states that it will increase. Referring to its Breakfast Index, the report stated that the average cost of ingredients to make a traditional fry-up soared by more than 22 per cent from a year earlier in January. The Office for National Statistics (ONS) said in a statement that the UK Consumer Prices Index (CPI) fell to 10.1 per cent in January compared with a rate of 10.5 per cent in December. Matt Hood, who is managing director of Co-op Food, said prices continued to rise in January as costs for grocers did, which made it "incredibly tough". He told the BBC's Today programme: "Inflation is the thing that keeps us up at night. Believe it or not we as retailers are trying our hardest not to flow it all through to our customers." WATCH | Russia- Ukraine war: One year into war, who stands where? × For the unversed, this comes as the official data showed on Wednesday that the annual inflation dropped further last month on easing transport costs, however, it remains above 10 per cent. Sharon Graham, general secretary at major British union Unite, said: "These latest figures show the cost-of-living crisis is still pummelling workers' pay packets. Unite will continue to fight for and win better wages in the face of this crisis," she added in a statement. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

UK cost of living crisis: Inflation retreats further, remains above 10%

The sheer weight of inflation that Britons are facing has been made clear by the latest figures. Data from the Office for National Statistics (ONS) shows that even as inflation reached double digits, wages are lagging far behind.&nbsp;As per a Daily Mail report, even though earnings have risen at near-record rates, in real terms wages have plummeted in the three months to November.

Watch |&nbsp;Nurses and ambulance workers strike in UK over pay hike

<iframe allowfullscreen="" autoplay="1" frameborder="0" height="350" src="https://www.wionews.com/videos/nurses-and-ambulance-workers-strike-in-uk-over-pay-hike-553049/embed" width="560"></iframe>

Over the three months, pay overall rose by 6.4 per cent in cash terms; 7.2 per cent for the private sector and 3.3 per cent for the public sector.

Compared to the CPI or Consumer Price Index, the above-mentioned time period reportedly saw pay tumble by 3.9 per cent; which is the biggest fall since 2009. Regular pay also saw a 3.8 per cent fall.

Also read |&nbsp;<a href="https://www.wionews.com/economy/uk-inflation-dips-from-41-year-high-but-food-prices-continue-to-rise-542994">UK inflation declines from 41-year high but food prices continue the upswing</a>

Apart from this, unemployment in the country rose by 0.2 points. From 3.5 per cent in the previous quarter to 3.7 per cent. As per ONS, this was largely due to older people returning to work and younger ones joining the workforce.

However, the latest figures show that the number of people out of work for up to six months and those unemployed for a period between six to 12 months saw an increase. For the former, the numbers were driven by people aged 16 to 24 years.

Also read |&nbsp;<a href="https://www.wionews.com/world/explained-23000-schools-across-uk-to-be-affected-as-teacher-announce-a-strike-heres-all-you-need-to-know-553439">Explained: 23,000 schools across UK to be affected as teachers announce strike. Here's all you need to know</a>

However, there was a drop in the number of people out of a job for more than a year.

As per ONS director of economic statistics Darren Morgan, “Vacancies fell again, though remaining at very high levels, with the number of people looking for work broadly in line with the number of jobs being advertised”

“The real value of people’s pay continues to fall, with prices still rising faster than earnings. This remains amongst the fastest drops in regular earnings since records began,” he added.

(With inputs from agencies)

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

The sheer weight of inflation that Britons are facing has been made clear by the latest figures. Data from the Office for National Statistics (ONS) shows that even as inflation reached double digits, wages are lagging far behind.

The sheer weight of inflation that Britons are facing has been made clear by the latest figures. Data from the Office for National Statistics (ONS) shows that even as inflation reached double digits, wages are lagging far behind. As per a Daily Mail report, even though earnings have risen at near-record rates, in real terms wages have plummeted in the three months to November. Watch | Nurses and ambulance workers strike in UK over pay hike Over the three months, pay overall rose by 6.4 per cent in cash terms; 7.2 per cent for the private sector and 3.3 per cent for the public sector. Compared to the CPI or Consumer Price Index, the above-mentioned time period reportedly saw pay tumble by 3.9 per cent; which is the biggest fall since 2009. Regular pay also saw a 3.8 per cent fall. Also read | UK inflation declines from 41-year high but food prices continue the upswing Apart from this, unemployment in the country rose by 0.2 points. From 3.5 per cent in the previous quarter to 3.7 per cent. As per ONS, this was largely due to older people returning to work and younger ones joining the workforce. However, the latest figures show that the number of people out of work for up to six months and those unemployed for a period between six to 12 months saw an increase. For the former, the numbers were driven by people aged 16 to 24 years. Also read | Explained: 23,000 schools across UK to be affected as teachers announce strike. Here's all you need to know However, there was a drop in the number of people out of a job for more than a year. As per ONS director of economic statistics Darren Morgan, “Vacancies fell again, though remaining at very high levels, with the number of people looking for work broadly in line with the number of jobs being advertised” “The real value of people’s pay continues to fall, with prices still rising faster than earnings. This remains amongst the fastest drops in regular earnings since records began,” he added. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

As inflation soars in UK, Britons see real-time value of their wages plummet; biggest fall since 2009

The UK government has come under heavy criticism for spending £1.3 million ($1.5 million) of taxpayers' money on a bronze sculpture by a celebrated English artist. The statue was then sent to 10, Downing Street to be placed in the garden of Prime Minister Rishi Sunak's new home.

The Sun reported that Henry Moore's "Working Model for Seated Woman", an abstract 1980 sculpture, was sold at a Christie's auction and acquired by the taxpayer-funded Government Art Collection last month.

At a time when the country is battling sky-high inflation, a cost-of-living crisis, and cost-cutting measures across public funding, the expense is being seen as an extravagance that could have been avoided.

Also Read |&nbsp;<a href="https://www.wionews.com/world/uk-inflation-spurs-to-41-year-high-before-jeremy-hunts-autumn-statement-534697">UK inflation soars to 41-year high before Jeremy Hunt's autumn statement</a>

“It is a fine piece and an important example of Moore's collection of seated women sculptures,” an expert told the newspaper.

“However, it may be considered an extravagant use of public funds, particularly given the economic climate,” the expert said.

Downing Street tried to wade itself out of the controversy by saying that no politicians were involved in the decision to acquire the artwork.

Describing the art piece, Christie's website says, "It conveys a strong sense of maternity and pregnancy."

Watch:&nbsp;UK to launch new billion-pound home insulation programme

&nbsp;

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/world-business-watch-uk-to-launch-new-billion-pound-home-insulation-programme-538035/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

&nbsp;

"It lauds the gentle watchfulness of the woman's face and her guarded posture to the protective nature of her arms and the architectural shelter she offers between her lap and shoulders," the website adds.

Notably, this is not a new matter and a Moore piece has adorned 10 Downing Street garden for the past 40 years. Works are regularly rotated at the request of the late sculptor's charitable foundation.

The UK&nbsp;government's art collection comprises over 14,000 such valuable art pieces in buildings across the political establishment at Whitehall in London and around the world. Henry Spencer Moore, who died in 1986, is considered one of the most important British artists of the 20th century. He is arguably the most internationally celebrated sculptor of the period.

(With inputs from agencies)

&nbsp;

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

The UK government has come under heavy criticism for spending £1.3 million ($1.5 million) of taxpayers' money on a bronze sculpture by a celebrated English artist.

The UK government has come under heavy criticism for spending £1.3 million ($1.5 million) of taxpayers' money on a bronze sculpture by a celebrated English artist. The statue was then sent to 10, Downing Street to be placed in the garden of Prime Minister Rishi Sunak's new home. The Sun reported that Henry Moore's "Working Model for Seated Woman", an abstract 1980 sculpture, was sold at a Christie's auction and acquired by the taxpayer-funded Government Art Collection last month. At a time when the country is battling sky-high inflation, a cost-of-living crisis, and cost-cutting measures across public funding, the expense is being seen as an extravagance that could have been avoided. Also Read | UK inflation soars to 41-year high before Jeremy Hunt's autumn statement “It is a fine piece and an important example of Moore's collection of seated women sculptures,” an expert told the newspaper. “However, it may be considered an extravagant use of public funds, particularly given the economic climate,” the expert said. Downing Street tried to wade itself out of the controversy by saying that no politicians were involved in the decision to acquire the artwork. Describing the art piece, Christie's website says, "It conveys a strong sense of maternity and pregnancy." Watch: UK to launch new billion-pound home insulation programme × "It lauds the gentle watchfulness of the woman's face and her guarded posture to the protective nature of her arms and the architectural shelter she offers between her lap and shoulders," the website adds. Notably, this is not a new matter and a Moore piece has adorned 10 Downing Street garden for the past 40 years. Works are regularly rotated at the request of the late sculptor's charitable foundation. The UK government's art collection comprises over 14,000 such valuable art pieces in buildings across the political establishment at Whitehall in London and around the world. Henry Spencer Moore, who died in 1986, is considered one of the most important British artists of the 20th century. He is arguably the most internationally celebrated sculptor of the period. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Bronze sculpture worth $1.5mn at 10, Downing Street sparks row

Next month, thousands of nursing staff across Britain will go on strike for the first time in the 106-year history of the UK's nurses union.&nbsp;The Royal College of Nursing (RCN) union said that staff in England, Wales, and Northern Ireland will go on strike on December 15 and 20. Nursing staff from Scotland will reportedly not participate.&nbsp;

Watch |&nbsp;UK inflation rises to 41-year high at 11.1%; food, energy prices soar

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/uk-inflation-rises-to-41-year-high-at-111-food-energy-prices-soar-534738/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

As per Reuters, the National Health Service (NHS) nurses' walkouts are the first in what could be a series of walkouts after the government rejected a proposal for negotiations to address demands for pay increases of five&nbsp;per cent over inflation.

"Nursing staff have had enough of being taken for granted, enough of low pay and unsafe staffing levels, enough of not being able to give our patients the care they deserve," said Royal College of Nursing (RCN) General Secretary Pat Cullen.

This will be the most recent strike in Britain. This year, numerous public and private sector employees—from lawyers to ground crew at airports—have also held protests.

Also read |&nbsp;<a href="https://www.wionews.com/world/uk-inflation-spurs-to-41-year-high-before-jeremy-hunts-autumn-statement-534697">UK inflation soars to 41-year high before Jeremy Hunt's autumn statement</a>

Workers across a range of industries in the UK have been demanding pay increases to keep up with rising prices due to decades-high inflation and a cost-of-living problem.

The nurses' strike as per AFP comes amid the first in a series of two-day walkouts by railroad workers and more stoppages by postal workers in the run-up to Christmas.

Steve Barclay, the UK's health minister, shared concern over the strikes and expressed his great gratitude for the "hard work and dedication" of nurses. He said that the NHS has "tried and tested plans" to minimise disruption and guarantee emergency services are maintained.

Also read |&nbsp;<a href="https://www.wionews.com/world/uk-high-inflation-casts-shadow-on-fastest-rise-in-wages-in-20-years-534384">UK: High inflation casts shadow on fastest rise in wages in 20 years</a>

According to the government, it has approved independent pay proposals and will provide at least £1,400 ($1,590) raise&nbsp;to almost one million NHS workers this year.

"These are challenging times for everyone and the economic circumstances mean the RCN's demands, which on current figures are a 19.2 per cent pay rise, costing £10 billion a year, are not affordable," he said.

In September, NHS said that nurses were skipping meals in order to clothe and feed their children and struggled to pay for growing transportation costs.

Due to rising energy and food prices, British inflation has been on the rise and hit a 41-year high of 11.1 per cent in October. &nbsp;

(With inputs from agencies)

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

Next month, thousands of nursing staff across Britain will go on strike for the first time in the 106-year history of the UK's nurses union. The Royal College of Nursing (RCN) union said that staff in England, Wales, and Northern Ireland will go on strike on December 15 and 20.

Next month, thousands of nursing staff across Britain will go on strike for the first time in the 106-year history of the UK's nurses union. The Royal College of Nursing (RCN) union said that staff in England, Wales, and Northern Ireland will go on strike on December 15 and 20. Nursing staff from Scotland will reportedly not participate. Watch | UK inflation rises to 41-year high at 11.1%; food, energy prices soar As per Reuters, the National Health Service (NHS) nurses' walkouts are the first in what could be a series of walkouts after the government rejected a proposal for negotiations to address demands for pay increases of five per cent over inflation. "Nursing staff have had enough of being taken for granted, enough of low pay and unsafe staffing levels, enough of not being able to give our patients the care they deserve," said Royal College of Nursing (RCN) General Secretary Pat Cullen. This will be the most recent strike in Britain. This year, numerous public and private sector employees—from lawyers to ground crew at airports—have also held protests. Also read | UK inflation soars to 41-year high before Jeremy Hunt's autumn statement Workers across a range of industries in the UK have been demanding pay increases to keep up with rising prices due to decades-high inflation and a cost-of-living problem. The nurses' strike as per AFP comes amid the first in a series of two-day walkouts by railroad workers and more stoppages by postal workers in the run-up to Christmas. Steve Barclay, the UK's health minister, shared concern over the strikes and expressed his great gratitude for the "hard work and dedication" of nurses. He said that the NHS has "tried and tested plans" to minimise disruption and guarantee emergency services are maintained. Also read | UK: High inflation casts shadow on fastest rise in wages in 20 years According to the government, it has approved independent pay proposals and will provide at least £1,400 ($1,590) raise to almost one million NHS workers this year. "These are challenging times for everyone and the economic circumstances mean the RCN's demands, which on current figures are a 19.2 per cent pay rise, costing £10 billion a year, are not affordable," he said. In September, NHS said that nurses were skipping meals in order to clothe and feed their children and struggled to pay for growing transportation costs. Due to rising energy and food prices, British inflation has been on the rise and hit a 41-year high of 11.1 per cent in October. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

British nurses to go on strike for two days in December over pay dispute

A month after "Trussonomics", the economic experiment by former UK Prime Minister Liz Truss failed miserably, Chancellor Jeremy Hunt&nbsp;delivered the autumn statement at the House of Commons on Thursday. Hunt announced a total of £55 billion plan in&nbsp;tax rises and spending cuts in his budget statement that was aimed to raise cash to support the economy.

"We are honest about the challenges and fair in our solutions. Yes, we take difficult decisions to tackle inflation and keep mortgage rises down. But our plan also leads to a shallower downturn; lower energy bills; higher long-term growth; and a stronger NHS and education system," Hunt said, acknowledging&nbsp;that in the face of “unprecedented global headwinds”, the British people are worried about their future.

The Chancellor said that he will deliver a plan “to tackle the cost of living crisis and rebuild our [British] economy”.

ALSO READ |&nbsp;&nbsp;<a href="https://www.wionews.com/world/uk-inflation-spurs-to-41-year-high-before-jeremy-hunts-autumn-statement-534697">UK inflation soars to 41-year high before Jeremy Hunt's autumn statement</a>

The UK Chancellor announced that he is not going to change the remit of the Bank of England.&nbsp;

Hunt told MPs: "So the Bank of England, which has done an outstanding job since its independence, now has my wholehearted support in its mission to defeat inflation and I today confirm we will not change its remit."

Chancellor extends windfall tax

Turning to the windfall tax on energy giants, Jeremy Hunt said that he has "no objection to windfall taxes if they are genuinely about windfall profits caused by unexpected increases in energy prices".&nbsp;

He continued: "But any such tax should be temporary, not deter investment and recognise the cyclical nature of many energy businesses."&nbsp;

"Taking account of this, I have decided that from January 1st until March 2028 we will increase the Energy Profits Levy from 25 per cent to 35 per cent."&nbsp;

He also said that "from January 1st, we have also decided to introduce a new, temporary 45 per cent&nbsp;levy on electricity generators".&nbsp;

The combined effect of these measures will bring in £14 billion, the Chancellor said.

Chancellor freezes tax allowances

Jeremy Hunt said he has decided to freeze a range of tax allowances to raise more cash for the Treasury.&nbsp;

He said: "We are also taking difficult decisions on tax-free allowances. I am maintaining at current levels the income tax personal allowance, higher rate threshold, main national insurance thresholds, and inheritance tax thresholds for a further two years taking us to April 2028. Even after that, we will still have the most generous set of tax-free allowances of any G7 country."

The Chancellor also announced that he is "reforming allowances on unearned income".&nbsp;

He said: "The dividend allowance will be cut from £2,000 to £1,000 next year and then to £500 from April 2024. The Annual Exempt Amount for capital gains tax will be cut from £12,300 to £6,000 next year and then to £3,000 from April 2024. These changes still leave us with more generous allowances overall than countries like Germany, Ireland, France, and Canada."

Electric cars lose exemption from Vehicle Excise Duty

Jeremy Hunt said he has decided "that from April 2025 electric vehicles will no longer be exempt from Vehicle Excise Duty".&nbsp;

On housing, he said: "The OBR expects housing activity to slow over the next two years, so the stamp duty cuts announced in the mini-budget will remain in place but only until 31st March 2025."

The inflation rate in the United Kingdom hit a fresh 41-year high in October, increasing to 11.1 per cent amid the cost of living crisis stoked by rising energy and food prices, in part due to the ongoing war in Ukraine.&nbsp;On an annual basis, food price inflation rose sharply to 16.5 per cent on an annual basis, the highest in 45 years, the UK Office of National Statistics said.

WATCH |&nbsp;<a href="https://www.wionews.com/videos/jeremy-hunt-to-present-uks-autumn-budget-today-vows-to-restore-stability-get-inflation-down-534971">Jeremy Hunt vows to 'restore stability, get inflation down'</a>

For a household with average usage of both gas and electricity, the government in October had capped the bills at £2,500 per month. According to the UK's Office of National Statistics, gas prices have climbed by nearly 130 per cent while electricity prices have risen by close to 66 per cent over the past year.&nbsp; 
&nbsp;

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1  width=&quot;100%&quot;"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

A month after "Trussonomics", the economic experiment by former UK Prime Minister Liz Truss failed miserably, Chancellor Jeremy Hunt delivered the autumn statement at the House of Commons on Thursday.

A month after "Trussonomics", the economic experiment by former UK Prime Minister Liz Truss failed miserably, Chancellor Jeremy Hunt delivered the autumn statement at the House of Commons on Thursday. Hunt announced a total of £55 billion plan in tax rises and spending cuts in his budget statement that was aimed to raise cash to support the economy. "We are honest about the challenges and fair in our solutions. Yes, we take difficult decisions to tackle inflation and keep mortgage rises down. But our plan also leads to a shallower downturn; lower energy bills; higher long-term growth; and a stronger NHS and education system," Hunt said, acknowledging that in the face of “unprecedented global headwinds”, the British people are worried about their future. The Chancellor said that he will deliver a plan “to tackle the cost of living crisis and rebuild our [British] economy”. ALSO READ | UK inflation soars to 41-year high before Jeremy Hunt's autumn statement The UK Chancellor announced that he is not going to change the remit of the Bank of England. Hunt told MPs: "So the Bank of England, which has done an outstanding job since its independence, now has my wholehearted support in its mission to defeat inflation and I today confirm we will not change its remit." Chancellor extends windfall tax Turning to the windfall tax on energy giants, Jeremy Hunt said that he has "no objection to windfall taxes if they are genuinely about windfall profits caused by unexpected increases in energy prices". He continued: "But any such tax should be temporary, not deter investment and recognise the cyclical nature of many energy businesses." "Taking account of this, I have decided that from January 1st until March 2028 we will increase the Energy Profits Levy from 25 per cent to 35 per cent." He also said that "from January 1st, we have also decided to introduce a new, temporary 45 per cent levy on electricity generators". The combined effect of these measures will bring in £14 billion, the Chancellor said. Chancellor freezes tax allowances Jeremy Hunt said he has decided to freeze a range of tax allowances to raise more cash for the Treasury. He said: "We are also taking difficult decisions on tax-free allowances. I am maintaining at current levels the income tax personal allowance, higher rate threshold, main national insurance thresholds, and inheritance tax thresholds for a further two years taking us to April 2028. Even after that, we will still have the most generous set of tax-free allowances of any G7 country." The Chancellor also announced that he is "reforming allowances on unearned income". He said: "The dividend allowance will be cut from £2,000 to £1,000 next year and then to £500 from April 2024. The Annual Exempt Amount for capital gains tax will be cut from £12,300 to £6,000 next year and then to £3,000 from April 2024. These changes still leave us with more generous allowances overall than countries like Germany, Ireland, France, and Canada." Electric cars lose exemption from Vehicle Excise Duty Jeremy Hunt said he has decided "that from April 2025 electric vehicles will no longer be exempt from Vehicle Excise Duty". On housing, he said: "The OBR expects housing activity to slow over the next two years, so the stamp duty cuts announced in the mini-budget will remain in place but only until 31st March 2025." The inflation rate in the United Kingdom hit a fresh 41-year high in October, increasing to 11.1 per cent amid the cost of living crisis stoked by rising energy and food prices, in part due to the ongoing war in Ukraine. On an annual basis, food price inflation rose sharply to 16.5 per cent on an annual basis, the highest in 45 years, the UK Office of National Statistics said. WATCH | Jeremy Hunt vows to 'restore stability, get inflation down' For a household with average usage of both gas and electricity, the government in October had capped the bills at £2,500 per month. According to the UK's Office of National Statistics, gas prices have climbed by nearly 130 per cent while electricity prices have risen by close to 66 per cent over the past year. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Chancellor Jeremy Hunt announces tax hikes, spending squeeze in £55 billion autumn budget

The inflation rate in the United Kingdom hit a fresh 41-year high in October, increasing to 11.1 per cent amid cost of living crisis stoked by rising energy and food prices, in part due to the ongoing war in Ukraine. On an annual basis, food price inflation rose sharply to 16.5 per cent on an annual basis, the highest in&nbsp;45 years, the UK Office of National Statistics said.

The UK's rate of inflation was 10.1 per cent in September. With an 11.1 per cent inflation rate in October, Prime Minister Rishi Sunak-led UK is facing the highest level of inflation since October 1981.&nbsp;

WATCH |&nbsp;<a href="https://www.wionews.com/videos/britain-to-see-80-spike-in-energy-bills-cost-of-living-crisis-deepens-510439">Britain to see 80% spike in energy bills, cost of living crisis deepens</a>

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/britain-to-see-80-spike-in-energy-bills-cost-of-living-crisis-deepens-510439/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

For a household with average usage of both gas and electricity, the government in October had capped the bills at £2,500 per month. According to the UK's Office of National Statistics, gas prices have climbed by nearly 130 per cent while electricity prices have risen by close to 66 per cent over the past year.&nbsp;

ALSO READ | <a href="https://www.wionews.com/world/uk-high-inflation-casts-shadow-on-fastest-rise-in-wages-in-20-years-534384">UK: High inflation casts shadow on fastest rise in wages in 20 years</a>

However, the UK core inflation, excluding food and energy costs, remained at 6.5 per cent in October.

Meanwhile, the British&nbsp;Chancellor of the Exchequer Jeremy Hunt promised to take "tough but necessary decisions on tax and spending" in the Autumn Statement to help bring inflation down. The autumn statement is scheduled to be laid out on November 17.&nbsp;

"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," Hunt said in a statement on Wednesday.

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1  width=&quot;100%&quot;"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

The inflation rate in the United Kingdom hit a fresh 41-year high in October, increasing to 11.1 per cent amid cost of living crisis stoked by rising energy and food prices, in part due to the ongoing war in Ukraine.

The inflation rate in the United Kingdom hit a fresh 41-year high in October, increasing to 11.1 per cent amid cost of living crisis stoked by rising energy and food prices, in part due to the ongoing war in Ukraine. On an annual basis, food price inflation rose sharply to 16.5 per cent on an annual basis, the highest in 45 years, the UK Office of National Statistics said. The UK's rate of inflation was 10.1 per cent in September. With an 11.1 per cent inflation rate in October, Prime Minister Rishi Sunak-led UK is facing the highest level of inflation since October 1981. WATCH | Britain to see 80% spike in energy bills, cost of living crisis deepens × For a household with average usage of both gas and electricity, the government in October had capped the bills at £2,500 per month. According to the UK's Office of National Statistics, gas prices have climbed by nearly 130 per cent while electricity prices have risen by close to 66 per cent over the past year. ALSO READ | UK: High inflation casts shadow on fastest rise in wages in 20 years However, the UK core inflation, excluding food and energy costs, remained at 6.5 per cent in October. Meanwhile, the British Chancellor of the Exchequer Jeremy Hunt promised to take "tough but necessary decisions on tax and spending" in the Autumn Statement to help bring inflation down. The autumn statement is scheduled to be laid out on November 17. "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," Hunt said in a statement on Wednesday. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

UK inflation soars to 41-year high before Jeremy Hunt's autumn statement

UK inflation hits 11.1% which is being driven by rising energy bills and food prices in a worsening cost of living crisis in the country. According to the office for National Statistics, the consumer price index hit 11.1% on an annual basis which is up from 10.1% in September.

UK inflation rises to 41-year high at 11.1%; food, energy prices soar

In a sigh of relief for millions of British people and citizens in the rest of the United Kingdom, wages in the UK are rising at fastest in 20 years. However, it still lags behind the rate of rising cost of living.

The job vacancies in the UK are at record high whereas the unemployment is low. The employers are reportedly putting up more wages to brings the workers they need. In September, the wage growth was witnessed more in the private sector (6.6 per cent) as compared to the public sector (2.2 per cent). Except for the period of Covid-19 pandemic, this is the largest difference between public and private pay growths.

Regular pay rose by 5.7 per cent in the year to September, the fastest growth since 2000 except for the period of Covid-19 pandemic. When adjusted for the increased prices, the wages fell by 2.7 per cent.

ALSO READ |&nbsp;<a href="https://www.wionews.com/business-economy/amid-cost-of-living-crisis-bank-of-england-hikes-interest-rates-and-warns-uk-faces-two-year-recession-530999">Amid cost-of-living crisis, Bank of England hikes interest rates and warns UK faces two-year recession</a>

The cost of living crisis is putting 'more and more pressure on households', reports say. Energy and food prices have increased due to which millions in the UK are reportedly struggling to pay bills.

Unemployment&nbsp;slightly up, may double by 2025

The UK unemployment rate rose slightly to 3.6 per cent in the three months to September, up from 3.5 per cent&nbsp;in August, according to the official figures. The unemployment is likely to double by 2025, the Bank of England has warned.

Jeremy Hunt to announce measures on November 17

On Thursday, the Chancellor of Exchequer Jeremy Hunt will lay out his plans to revamp the British economy, with expected spending cuts and increase in taxes.

According to a report in The Times, Jeremy Hunt and UK Prime Minister Rishi Sunak will announce increase in the national living wage on Thursday, November 17. This increase will target the new cost-of-living payments for the poorest households.

WATCH |&nbsp;<a href="https://www.wionews.com/videos/uk-cost-of-living-crisis-food-banks-lifesaver-britons-worried-about-winter-530363">UK Cost of Living Crisis: Food banks 'lifesaver', Britons worried about winter</a>

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/uk-cost-of-living-crisis-food-banks-lifesaver-britons-worried-about-winter-530363/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

"People's hard-earned money isn't going as far as it should," Jeremy Hunt said.&nbsp;

"Tackling inflation is my absolute priority and that guides the difficult decisions on tax and spending we will make on Thursday," he added.

UK paying for "economic mistakes" of Conservatives: Opposition

Labour Party's Rachel Reeves said that the UK was paying for "12 years of Tory economic mistakes".

"Real wages have fallen again, thousands of over-50s have left the labour market and a record number of people are out of work because they're stuck on NHS waiting lists or they're not getting proper employment support," Rachel Reeves said.

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<blockquote class="twitter-tweet">
NEW: Real wages have fallen again. 
 
This is the knock-on impact of 12 years of Tory economic failure. 
 
Thousands of over 50s have left the labour market &amp; record numbers are out of work as they’re on NHS waiting lists. 
 
Britain deserves fairer choices &amp; a proper plan for growth.
— Rachel Reeves (@RachelReevesMP) <a href="https://twitter.com/RachelReevesMP/status/1592413595941277697?ref_src=twsrc%5Etfw">November 15, 2022</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

On Twitter, the Labour leader claimed that thousands of over 50s have left the labour market and record numbers are out of work as they’re on NHS waiting lists. "Britain deserves fairer choices and a proper plan for growth," she said.&nbsp;

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1  width=&quot;100%&quot;"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

In a sigh of relief for millions of British people and citizens in the rest of the United Kingdom, wages in the UK are rising at fastest in 20 years. However, it still lags behind the rate of rising cost of living.

In a sigh of relief for millions of British people and citizens in the rest of the United Kingdom, wages in the UK are rising at fastest in 20 years. However, it still lags behind the rate of rising cost of living. The job vacancies in the UK are at record high whereas the unemployment is low. The employers are reportedly putting up more wages to brings the workers they need. In September, the wage growth was witnessed more in the private sector (6.6 per cent) as compared to the public sector (2.2 per cent). Except for the period of Covid-19 pandemic, this is the largest difference between public and private pay growths. Regular pay rose by 5.7 per cent in the year to September, the fastest growth since 2000 except for the period of Covid-19 pandemic. When adjusted for the increased prices, the wages fell by 2.7 per cent. ALSO READ | Amid cost-of-living crisis, Bank of England hikes interest rates and warns UK faces two-year recession The cost of living crisis is putting 'more and more pressure on households', reports say. Energy and food prices have increased due to which millions in the UK are reportedly struggling to pay bills. Unemployment slightly up, may double by 2025 The UK unemployment rate rose slightly to 3.6 per cent in the three months to September, up from 3.5 per cent in August, according to the official figures. The unemployment is likely to double by 2025, the Bank of England has warned. Jeremy Hunt to announce measures on November 17 On Thursday, the Chancellor of Exchequer Jeremy Hunt will lay out his plans to revamp the British economy, with expected spending cuts and increase in taxes. According to a report in The Times, Jeremy Hunt and UK Prime Minister Rishi Sunak will announce increase in the national living wage on Thursday, November 17. This increase will target the new cost-of-living payments for the poorest households. WATCH | UK Cost of Living Crisis: Food banks 'lifesaver', Britons worried about winter × "People's hard-earned money isn't going as far as it should," Jeremy Hunt said. "Tackling inflation is my absolute priority and that guides the difficult decisions on tax and spending we will make on Thursday," he added. UK paying for "economic mistakes" of Conservatives: Opposition Labour Party's Rachel Reeves said that the UK was paying for "12 years of Tory economic mistakes". "Real wages have fallen again, thousands of over-50s have left the labour market and a record number of people are out of work because they're stuck on NHS waiting lists or they're not getting proper employment support," Rachel Reeves said. NEW: Real wages have fallen again. This is the knock-on impact of 12 years of Tory economic failure. Thousands of over 50s have left the labour market & record numbers are out of work as they’re on NHS waiting lists. Britain deserves fairer choices & a proper plan for growth. — Rachel Reeves (@RachelReevesMP) November 15, 2022 × On Twitter, the Labour leader claimed that thousands of over 50s have left the labour market and record numbers are out of work as they’re on NHS waiting lists. "Britain deserves fairer choices and a proper plan for growth," she said. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

UK: High inflation casts shadow on fastest rise in wages in 20 years

The cost-of-living crisis in the United Kingdom is now threatening to stall government functioning as tens of thousands of civil servants on Thursday voted in favour of going on strike over pay, pensions and redundancy terms.&nbsp;The Public and Commercial Services (PCS) union, which represents workers employed by several British government departments, said an average of 86.2% of its balloted members voted for industrial action, the highest percentage ever in the union’s history, reports Reuters.

PCS general secretary Mark Serwotka said, “Our members have spoken and if the government fails to listen to them, we’ll have no option than to launch a prolonged programme of industrial action reaching into every corner of public life.” 
 
ALSO READ |&nbsp;<a href="https://www.wionews.com/videos/uk-nurses-to-hold-first-ever-strike-over-pay-threat-to-already-disrupted-health-system-533006">UK nurses to hold first ever strike over pay: Threat to already disrupted health system</a> 
 
The government must look at the huge vote for strike action across swathes of the civil service and realise it can no longer treat its workers with contempt, he added. 
 
“Civil servants have willingly and diligently played a vital role in keeping the country running during the pandemic but enough is enough,” Serwotka said. 
 
WATCH |&nbsp;UK inflation accelerates to 40-year-high

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/uk-inflation-accelerates-to-40-year-high-526790/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

 
The union officials are demanding a 10 per cent hike in pay to match the country’s high inflation rate.

ALSO READ |&nbsp;<a href="https://www.wionews.com/world/millions-forced-to-skip-meals-for-an-entire-day-in-the-uk-new-study-shows-526574">Millions forced to skip meals for an entire day in the UK, new study shows</a> 
 
The cost-of-living crisis is leading to widespread strikes in the UK, with train workers, legal staff, dockers and even nurses among those opting for industrial action.

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

The cost-of-living crisis in the United Kingdom is now threatening to stall government functioning as tens of thousands of civil servants on Thursday voted in favour of going on strike over pay, pensions and redundancy terms.

The cost-of-living crisis in the United Kingdom is now threatening to stall government functioning as tens of thousands of civil servants on Thursday voted in favour of going on strike over pay, pensions and redundancy terms. The Public and Commercial Services (PCS) union, which represents workers employed by several British government departments, said an average of 86.2% of its balloted members voted for industrial action, the highest percentage ever in the union’s history, reports Reuters. PCS general secretary Mark Serwotka said, “Our members have spoken and if the government fails to listen to them, we’ll have no option than to launch a prolonged programme of industrial action reaching into every corner of public life.” ALSO READ | UK nurses to hold first ever strike over pay: Threat to already disrupted health system The government must look at the huge vote for strike action across swathes of the civil service and realise it can no longer treat its workers with contempt, he added. “Civil servants have willingly and diligently played a vital role in keeping the country running during the pandemic but enough is enough,” Serwotka said. WATCH | UK inflation accelerates to 40-year-high × The union officials are demanding a 10 per cent hike in pay to match the country’s high inflation rate. ALSO READ | Millions forced to skip meals for an entire day in the UK, new study shows The cost-of-living crisis is leading to widespread strikes in the UK, with train workers, legal staff, dockers and even nurses among those opting for industrial action. You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE

Now, UK civil servants to join strike over cost-of-living crisis, union seeks 10% pay hike

Here we bring you a quick round-up of all latest news, top headlines and international breakings from all across the globe, stay tuned with Gravitas for more!

Gravitas Global Headlines: Indian Rupee falls to record low | HSBC Ad faces flak

British inflation rose to a 40-year high in September, rising above 10 per cent on soaring food prices, official data showed Wednesday. A cost-of-living crisis is currently gripping the country and people are being forced to cut down on basic consumptions.

The Consumer Prices Index accelerated to 10.1 per cent on an annual basis, up from 9.9 per cent in August, the Office for National Statistics said in a statement.

The September rate matched the level in July and is the highest in 40 years, also as a result of sky-high energy bills.

Also Read |&nbsp;<a href="https://www.wionews.com/world/liz-truss-declares-she-will-increase-corporation-tax-just-hours-after-sacking-her-finance-minister-525494">After sacking her finance minister, UK PM Liz Truss declares she will hike corporation tax</a>

"I understand that families across the country are struggling with rising prices and higher energy bills," Britain's new finance minister Jeremy Hunt said in a separate statement.

"This government will prioritise help for the most vulnerable while delivering wider economic stability and driving long-term growth that will help everyone."

UK markets witnessed chaos after uncosted tax cuts were made by the government. Most of the measures of the "mini budget" have now been reversed, leaving Prime Minister Liz Truss red-faced. Questions began swirling over her future, but she apologised and said that she will lead UK into the next elections.

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/liz-truss-apologises-for-economic-mistakes-526442/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

&nbsp;

Following widespread criticism, Truss sacked Kwasi Kwarteng as chancellor after less than six weeks in the role.&nbsp;

Analysts said Wednesday's data would put pressure on the Bank of England to keep raising its main interest rate by sizeable amounts.

Capital Economics noted that the BoE could hike its rate by as much as one percentage point to 3.25 per cent at its next meeting in November.

(With inputs from agencies)

&nbsp;

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

British inflation rose to a 40-year high in September, rising above 10 per cent on soaring food prices, official data showed Wednesday. A cost-of-living crisis is currently gripping the country and people are being forced to cut down on basic consumptions.

British inflation rose to a 40-year high in September, rising above 10 per cent on soaring food prices, official data showed Wednesday. A cost-of-living crisis is currently gripping the country and people are being forced to cut down on basic consumptions. The Consumer Prices Index accelerated to 10.1 per cent on an annual basis, up from 9.9 per cent in August, the Office for National Statistics said in a statement. The September rate matched the level in July and is the highest in 40 years, also as a result of sky-high energy bills. Also Read | After sacking her finance minister, UK PM Liz Truss declares she will hike corporation tax "I understand that families across the country are struggling with rising prices and higher energy bills," Britain's new finance minister Jeremy Hunt said in a separate statement. "This government will prioritise help for the most vulnerable while delivering wider economic stability and driving long-term growth that will help everyone." UK markets witnessed chaos after uncosted tax cuts were made by the government. Most of the measures of the "mini budget" have now been reversed, leaving Prime Minister Liz Truss red-faced. Questions began swirling over her future, but she apologised and said that she will lead UK into the next elections. × Following widespread criticism, Truss sacked Kwasi Kwarteng as chancellor after less than six weeks in the role. Analysts said Wednesday's data would put pressure on the Bank of England to keep raising its main interest rate by sizeable amounts. Capital Economics noted that the BoE could hike its rate by as much as one percentage point to 3.25 per cent at its next meeting in November. (With inputs from agencies)

UK inflation accelerates to 40-year high as food prices soar further

Gravitas Global Headlines: Concerns rise over US economy | Liz Truss apologizes

Food price inflation has rocketed past last month's 9.3 per cent to 10.6 per cent in the UK, driven by the war in Ukraine which has raised the prices of commodities like animal feed, fertiliser and vegetable oil. Overall shop price inflation accelerated to 5.7 per cent in September, up from 5.1 per cent in August as per British Retail Consortium-Nielson IQ index.

Fresh food products cost a record 12.1 per cent more than last year, up from 10.5 per cent in August. Inflation for cupboard staples, such as pasta and tinned tomatoes, reached a record 8.6 per cent, up from 7.8 per cent in the previous month. This was the fastest rate of increase ever recorded for the category.

Non-food inflation rose from 2.9 per cent in August to 3.3 per cent due to rising transport costs. Prices of fruits such as strawberries, blueberries and tomatoes fell owing to prolonged sunshine due to the summer drought.

Helen Dickinson, chief executive of the British Retail Consortium, was quoted by Sky News as saying, "Retailers are battling huge cost pressures from the weak pound, rising energy bills and global commodity prices, high transport costs, a tight labour market and the cumulative burden of government-imposed costs."

(With inputs from agencies)

&nbsp;

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

Food price inflation has rocketed past last month's 9.3 per cent to 10.6 per cent in the UK, driven by the war in Ukraine which has raised the prices of commodities like animal feed, fertiliser and vegetable oil.

Food price inflation has rocketed past last month's 9.3 per cent to 10.6 per cent in the UK, driven by the war in Ukraine which has raised the prices of commodities like animal feed, fertiliser and vegetable oil. Overall shop price inflation accelerated to 5.7 per cent in September, up from 5.1 per cent in August as per British Retail Consortium-Nielson IQ index. Fresh food products cost a record 12.1 per cent more than last year, up from 10.5 per cent in August. Inflation for cupboard staples, such as pasta and tinned tomatoes, reached a record 8.6 per cent, up from 7.8 per cent in the previous month. This was the fastest rate of increase ever recorded for the category. Non-food inflation rose from 2.9 per cent in August to 3.3 per cent due to rising transport costs. Prices of fruits such as strawberries, blueberries and tomatoes fell owing to prolonged sunshine due to the summer drought. Helen Dickinson, chief executive of the British Retail Consortium, was quoted by Sky News as saying, "Retailers are battling huge cost pressures from the weak pound, rising energy bills and global commodity prices, high transport costs, a tight labour market and the cumulative burden of government-imposed costs." (With inputs from agencies)

Data shows UK shoppers are paying record 10.6% more for food than a year ago

Next UK leader to inherit an economy in a bind

As UK is bearing the brunt of inflation, pubs across the country might be forced to close this winter due to soaring energy costs. Pub owners in UK are finding it difficult to run their businesses with energy costs up by as much as 300%.

Cost of living crisis: UK pubs fear closure over rising energy costs

Goldman Sachs, one of the leading US financial service companies has some grim analysis for the United Kingdom. The financial firm says inflation in the country could exceed to as much as 20 percent next year if oil prices fail to cool down.

UK Inflation could top 20% next year: Goldman Sachs

It's beginning to seem as though nothing will be able to stop the British pound from reaching new lows.

The UK's economic problems are getting worse by the day, with predictions of inflation exceeding 18% next year and the likelihood that households everywhere may experience energy poverty this winter. Traders agree that in order to control pricing pressures, the Bank of England will be forced to plunge the country into a deep recession and result in massive job losses.

As per Bloomberg reports, It has enabled the pound to reach historic lows. The challenges facing the British <a href="https://www.wionews.com/world/bolsonaro-and-lula-attack-each-other-in-the-first-televised-debate-ahead-of-the-october-elections-510987">economy</a> and the future prime minister are highlighted by the currency's current price of $1.18, which is only 4 US cents above its lowest level since 1985 against the dollar.

“Is there more downside? Yes, absolutely,” said Geoff Yu, senior&nbsp;currency&nbsp;strategist at Bank of New York Mellon Corp. “Even if things improve, sterling can’t return to where it was in the past of $1.40 or $1.45. That’s going to be very hard&nbsp;to achieve.”

Also read |&nbsp;<a href="https://www.wionews.com/world/french-lawmakers-lodge-complaint-against-uk-sewage-dump-in-shared-waters-510832">French lawmakers lodge complaint against UK over sewage dumping in shared waters</a>

Higher rates should theoretically result in a stronger currency. It's the opposite, though, for the UK at the moment. Investors are of the opinion that additional<a href="https://www.wionews.com/videos/us-senator-fed-will-tip-us-into-recession-511041"> aggressive increases in borrowing costs,</a> which are necessary to reduce price growth, would worsen Britain's economic situation relative to that of the US and the euro area.

When the growth-inflation trade-off is this poor, Kit Juckes, chief currency strategist at Societe Generale SA in London, said that rates "aren't always going to be enough to support a currency."

Last month, UK inflation reached a 40-year high of 10.1% year-over-year, and Citigroup Inc. has predicted that it may reach 18% in January. This year, more than half of UK homes run the risk of falling into energy poverty.

Also WATCH |&nbsp;Suzuki to set up new R&amp;D company in India

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/suzuki-to-set-up-new-rd-company-in-india-511051/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

It's beginning to seem as though nothing will be able to stop the British pound from reaching new lows. The UK's economic problems are getting worse by the day, with predictions of inflation exceeding 18% next year and the likelihood that households everywhere may experience energy poverty this winter.

It's beginning to seem as though nothing will be able to stop the British pound from reaching new lows. The UK's economic problems are getting worse by the day, with predictions of inflation exceeding 18% next year and the likelihood that households everywhere may experience energy poverty this winter. Traders agree that in order to control pricing pressures, the Bank of England will be forced to plunge the country into a deep recession and result in massive job losses. As per Bloomberg reports, It has enabled the pound to reach historic lows. The challenges facing the British economy and the future prime minister are highlighted by the currency's current price of $1.18, which is only 4 US cents above its lowest level since 1985 against the dollar. “Is there more downside? Yes, absolutely,” said Geoff Yu, senior currency strategist at Bank of New York Mellon Corp. “Even if things improve, sterling can’t return to where it was in the past of $1.40 or $1.45. That’s going to be very hard to achieve.” Also read | French lawmakers lodge complaint against UK over sewage dumping in shared waters Higher rates should theoretically result in a stronger currency. It's the opposite, though, for the UK at the moment. Investors are of the opinion that additional aggressive increases in borrowing costs, which are necessary to reduce price growth, would worsen Britain's economic situation relative to that of the US and the euro area. When the growth-inflation trade-off is this poor, Kit Juckes, chief currency strategist at Societe Generale SA in London, said that rates "aren't always going to be enough to support a currency." Last month, UK inflation reached a 40-year high of 10.1% year-over-year, and Citigroup Inc. has predicted that it may reach 18% in January. This year, more than half of UK homes run the risk of falling into energy poverty. Also WATCH | Suzuki to set up new R&D company in India

UK: Raging inflation pushes the Pound to a near 37-year low

Investment bank Citi has warned that surging energy bills will drive UK inflation to over 18 per cent early next year.

Due to extremely painful rises in energy bills that will push the cost of living into the “stratosphere” CPI inflation will hit 18.6 per cent in January 2023, according to Citi.

While the price cap on energy bills across&nbsp;Britain is currently £1,971, it will jump to £5,816 in April next year.

''Our latest estimate, updated for the further 25 per cent and 7 per cent rally in UK gas and electricity prices last week, points to a further upside shift in UK inflation,'' Benjamin Nabarro, chief UK economist at Citi, told clients.

''Accounting for these developments, as well as updating our own weights for CPI/ RPI and honing our own accounting for curve backwardation, we now expect CPI inflation to peak at over 18 per cent in January. RPI inflation, we think, will peak at over 20 per cent,'' he added.

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/uk-workers-of-felixstowe-port-go-on-an-8-day-strike-2000-employees-stage-a-walkout-508937/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

At a 40-year high, CPI inflation jumped to 10.1 per cent in July and the question now is what policy may do to offset the impact on both inflation and the real economy.

''For now, we think [Liz] Truss’s comments point to only a limited offset for headline inflation. Though the risks remain skewed towards further support,'' said Nabarro.

When the energy price cap is lifted, UK inflation will peak at over 13 per cent this autumn, according to a forecast by the Bank of England.

As Russian President Vladimir Putin ''weaponised'' Russia’s energy supplies, wholesale gas prices have continued to rise through August in Britain.

After Russian oil giant Gazprom announced it is preparing to shut down its Nord Stream 1 pipeline for three days, oil prices surged further.

(With inputs from agencies)

Watch WION's live TV here:

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false"><iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe></div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

&nbsp;

Investment bank Citi has warned that surging energy bills will drive UK inflation to over 18 per cent early next year. Due to extremely painful rises in energy bills that will push the cost of living into the “stratosphere” CPI inflation will hit 18.

Investment bank Citi has warned that surging energy bills will drive UK inflation to over 18 per cent early next year. Due to extremely painful rises in energy bills that will push the cost of living into the “stratosphere” CPI inflation will hit 18.6 per cent in January 2023, according to Citi. While the price cap on energy bills across Britain is currently £1,971, it will jump to £5,816 in April next year. ''Our latest estimate, updated for the further 25 per cent and 7 per cent rally in UK gas and electricity prices last week, points to a further upside shift in UK inflation,'' Benjamin Nabarro, chief UK economist at Citi, told clients. ''Accounting for these developments, as well as updating our own weights for CPI/ RPI and honing our own accounting for curve backwardation, we now expect CPI inflation to peak at over 18 per cent in January. RPI inflation, we think, will peak at over 20 per cent,'' he added. × At a 40-year high, CPI inflation jumped to 10.1 per cent in July and the question now is what policy may do to offset the impact on both inflation and the real economy. ''For now, we think [Liz] Truss’s comments point to only a limited offset for headline inflation. Though the risks remain skewed towards further support,'' said Nabarro. When the energy price cap is lifted, UK inflation will peak at over 13 per cent this autumn, according to a forecast by the Bank of England. As Russian President Vladimir Putin ''weaponised'' Russia’s energy supplies, wholesale gas prices have continued to rise through August in Britain. After Russian oil giant Gazprom announced it is preparing to shut down its Nord Stream 1 pipeline for three days, oil prices surged further. (With inputs from agencies) Watch WION's live TV here: ×

Citi warns UK inflation to hit 18% as energy bills rocket

What a rollercoaster ride British citizens have been on since Brexit, COVID-19 and now the fatal energy blow being delivered to hardworking families in this country. From April this year electricity and gas tariffs have gone up by over 50 per cent&nbsp;on average, thanks in part to the price cap being removed by Ofgem and a free for all in a capitalist energy market. The working poor, pensioners, benefit claimants and ordinary folks will have to make a serious choice of whether to feed themselves and their families or heat their homes to keep everyone warm and comfortable. A disgrace for the United Kingdom as it belongs to the G7 club of rich nations.

While rising energy prices will affect most households across the country, they are more likely to disproportionately affect those on the lowest incomes. In the financial year ending in 2020, the poorest 10 per cent&nbsp;of households spent more than half (54 per cent) of their average weekly expenditure (£298.90) on essentials such as housing (including electricity and gas), food and transport. Those in the richest 10 per cent, in comparison, spend 42 per cent&nbsp;of their average weekly spend of £1,073.20 on the same essentials. As usual, during any economic crisis, it’s the working class that suffers the most and are often blamed, even though it’s the fault of our elected politicians and their lobbyist friends and donors.

A perfect storm is brewing for many households in Scotland as a decrease in wages, increase in high food prices, and from April a massive energy price hike. Rishi Sunak, ex-chancellor and now an aspiring prime minister, has not extended the £20 Universal Credit last year as that would have help cushioned the impact a little. The current rate of pay and benefits don’t fit well with a rich nation like the UK. Prepayment meters will see the highest price rise and they are mostly used by the poor and most vulnerable in our society. It beggars’ belief that the citizenry can be so easily misled and benefit claimants scapegoated again and again for the deals made by politicians to rob the taxpayers via their friends and families' companies which are setup simply to steal money officially through various tax havens.

Overall, considering predicted energy price increases alongside a reduction in real wages and the planned increase in national insurance contributions, the Resolution Foundation feared a “living standards catastrophe” in 2022. It is estimated that taxes and energy bills would have risen by an average of £1,200 per household since April 2022 under current government plans.

(Disclaimer: The views of the writer do not represent the views of WION or ZMCL. Nor does WION or ZMCL endorse the views of the writer)

WATCH WION LIVE HERE:&nbsp;

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false"><iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe></div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

&nbsp;

What a rollercoaster ride British citizens have been on since Brexit, COVID-19 and now the fatal energy blow being delivered to hardworking families in this country.

What a rollercoaster ride British citizens have been on since Brexit, COVID-19 and now the fatal energy blow being delivered to hardworking families in this country. From April this year electricity and gas tariffs have gone up by over 50 per cent on average, thanks in part to the price cap being removed by Ofgem and a free for all in a capitalist energy market. The working poor, pensioners, benefit claimants and ordinary folks will have to make a serious choice of whether to feed themselves and their families or heat their homes to keep everyone warm and comfortable. A disgrace for the United Kingdom as it belongs to the G7 club of rich nations. While rising energy prices will affect most households across the country, they are more likely to disproportionately affect those on the lowest incomes. In the financial year ending in 2020, the poorest 10 per cent of households spent more than half (54 per cent) of their average weekly expenditure (£298.90) on essentials such as housing (including electricity and gas), food and transport. Those in the richest 10 per cent, in comparison, spend 42 per cent of their average weekly spend of £1,073.20 on the same essentials. As usual, during any economic crisis, it’s the working class that suffers the most and are often blamed, even though it’s the fault of our elected politicians and their lobbyist friends and donors. A perfect storm is brewing for many households in Scotland as a decrease in wages, increase in high food prices, and from April a massive energy price hike. Rishi Sunak, ex-chancellor and now an aspiring prime minister, has not extended the £20 Universal Credit last year as that would have help cushioned the impact a little. The current rate of pay and benefits don’t fit well with a rich nation like the UK. Prepayment meters will see the highest price rise and they are mostly used by the poor and most vulnerable in our society. It beggars’ belief that the citizenry can be so easily misled and benefit claimants scapegoated again and again for the deals made by politicians to rob the taxpayers via their friends and families' companies which are setup simply to steal money officially through various tax havens. Overall, considering predicted energy price increases alongside a reduction in real wages and the planned increase in national insurance contributions, the Resolution Foundation feared a “living standards catastrophe” in 2022. It is estimated that taxes and energy bills would have risen by an average of £1,200 per household since April 2022 under current government plans. (Disclaimer: The views of the writer do not represent the views of WION or ZMCL. Nor does WION or ZMCL endorse the views of the writer) WATCH WION LIVE HERE: ×

What is cost of living crisis in rich Britain?

Soaring food prices pushed British consumer price inflation to a 40-year high of 9.1% last month, the highest rate out of the Group of Seven countries and one which underlines the severity of the country's cost-of-living crunch.

The reading was up from 9.0% in April and matched the consensus of a Reuters poll of economists. Records from the Office for National Statistics show May's inflation was the highest since March 1982 - and worse is likely to come.

Sterling, one of the weakest currencies against the U.S. dollar this year, fell below $1.22, down 0.6% on the day, before later recovering.

Some investors judge Britain to be at risk of both persistently high inflation and recession, reflecting its large, imported energy bill and ongoing Brexit-related friction which could further hurt trade ties with the European Union.

Also read |&nbsp;<a href="https://www.wionews.com/trending/man-releases-footage-of-flying-object-calls-british-town-ufo-hotspot-490584" hreflang="en">Man releases footage of 'flying object', calls British town 'UFO hotspot'</a>

"With the economic outlook so unclear, no one knows how high inflation could go, and how long it will continue for - making fiscal and monetary policy judgements particularly tough," said Jack Leslie, senior economist at the Resolution Foundation think tank.

Earlier on Wednesday the Resolution Foundation said the cost-of-living hit for households was being compounded by Brexit, with damaging long-term implications for productivity and wages. read more

Average pay is not keeping up with inflation and trade unions have warned of widespread strikes in the coming months. Railway staff have already staged mass walkouts this week.

Britain's headline inflation rate in May was higher than in the United States, France, Germany and Italy. While Japan and Canada have yet to report consumer price data for May, neither are likely to come close.

A man shops for fruit and vegetables at Brixton Market, amid the spread of the coronavirus disease (COVID-19) in London, Britain, September 27, 2020. REUTERS/Simon Dawson

The Bank of England said last week that inflation was likely to remain above 9% over the coming months before peaking at slightly above 11% in October, when regulated household energy bills are due to rise again.

Financial markets show interest rates in Britain are on course to rise above 3% around the turn of the year from 1.25% now, although most economists think waning economic growth means the BoE will raise rates by less than that.

Finance minister Rishi Sunak said after the data that the British government was doing all it could to combat a surge in prices and the central bank would act "forcefully" to contain inflation.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/with-4-to-5-rape-cases-daily-pakistans-punjab-declares-rape-emergency-490546">With 4 to 5 rape cases daily, Pakistan's Punjab declares 'rape emergency'</a>

Prices for food and non-alcoholic drinks rose by 8.7% in annual terms in May - the biggest jump since March 2009 and making this category the biggest driver of annual inflation last month.

Annual core inflation - which strips out food and energy prices to give an idea of domestically generated cost pressure - fell for the first time since September to 5.9% from 6.2%, a lower-than-expected reading.

"The Bank of England may indeed gain some hope from the fact that core price pressures are subsiding (but) we doubt this ... will be enough to avert further rate rises in the coming months," said Sandra Horsfield, an economist from Investec.

Overall consumer prices rose by 0.7% in monthly terms in May, the ONS said, a little more than the 0.6% consensus.

Costs paid by British factories for materials and energy - a key determinant of prices later paid by consumers in shops - were 22.1% higher in May than a year earlier, the biggest increase since these records began in 1985, the ONS said.

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

Soaring food prices pushed British consumer price inflation to a 40-year high of 9.1% last month, the highest rate out of the Group of Seven countries and one which underlines the severity of the country's cost-of-living crunch.

Soaring food prices pushed British consumer price inflation to a 40-year high of 9.1% last month, the highest rate out of the Group of Seven countries and one which underlines the severity of the country's cost-of-living crunch. The reading was up from 9.0% in April and matched the consensus of a Reuters poll of economists. Records from the Office for National Statistics show May's inflation was the highest since March 1982 - and worse is likely to come. Sterling, one of the weakest currencies against the U.S. dollar this year, fell below $1.22, down 0.6% on the day, before later recovering. Some investors judge Britain to be at risk of both persistently high inflation and recession, reflecting its large, imported energy bill and ongoing Brexit-related friction which could further hurt trade ties with the European Union. Also read | Man releases footage of 'flying object', calls British town 'UFO hotspot' "With the economic outlook so unclear, no one knows how high inflation could go, and how long it will continue for - making fiscal and monetary policy judgements particularly tough," said Jack Leslie, senior economist at the Resolution Foundation think tank. Earlier on Wednesday the Resolution Foundation said the cost-of-living hit for households was being compounded by Brexit, with damaging long-term implications for productivity and wages. read more Average pay is not keeping up with inflation and trade unions have warned of widespread strikes in the coming months. Railway staff have already staged mass walkouts this week. Britain's headline inflation rate in May was higher than in the United States, France, Germany and Italy. While Japan and Canada have yet to report consumer price data for May, neither are likely to come close. A man shops for fruit and vegetables at Brixton Market, amid the spread of the coronavirus disease (COVID-19) in London, Britain, September 27, 2020. REUTERS/Simon Dawson The Bank of England said last week that inflation was likely to remain above 9% over the coming months before peaking at slightly above 11% in October, when regulated household energy bills are due to rise again. Financial markets show interest rates in Britain are on course to rise above 3% around the turn of the year from 1.25% now, although most economists think waning economic growth means the BoE will raise rates by less than that. Finance minister Rishi Sunak said after the data that the British government was doing all it could to combat a surge in prices and the central bank would act "forcefully" to contain inflation. Also read | With 4 to 5 rape cases daily, Pakistan's Punjab declares 'rape emergency' Prices for food and non-alcoholic drinks rose by 8.7% in annual terms in May - the biggest jump since March 2009 and making this category the biggest driver of annual inflation last month. Annual core inflation - which strips out food and energy prices to give an idea of domestically generated cost pressure - fell for the first time since September to 5.9% from 6.2%, a lower-than-expected reading. "The Bank of England may indeed gain some hope from the fact that core price pressures are subsiding (but) we doubt this ... will be enough to avert further rate rises in the coming months," said Sandra Horsfield, an economist from Investec. Overall consumer prices rose by 0.7% in monthly terms in May, the ONS said, a little more than the 0.6% consensus. Costs paid by British factories for materials and energy - a key determinant of prices later paid by consumers in shops - were 22.1% higher in May than a year earlier, the biggest increase since these records began in 1985, the ONS said. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

UK inflation hits 9.1% as prices continue to rise at their fastest rate for 40 years

Average British workers’ wages will be down, productivity will be hit, and UK’s competitive edge will be lost during the rest of the decade due to Brexit, a new study has claimed.

The Resolution Foundation think tank’s report, in collaboration with the London School of Economics, has said that splitting away from the EU would make Britain “poorer” during the 2020s and accentuate the cost of living crisis.

The study said that the immediate impact of Brexit was already clear, with a “depreciation-driven inflation spike” increasing the cost of living for households and cutting investment.

“A less open Great Britain is expected to be poorer and less productive,” it said, according to The Guardian.

The study estimated that UK’s labour productivity will dwindle by 1.3 per cent by the end of the decade through changes in trading rules, contributing to weaker wage growth.

They said that real pay was set to be £470 lower per worker each year, on average, if Britain goes ahead with its Brexit plan.

It further said that the region would see a 2.7 per cent fall in manufacturing output by 2030 compared with a scenario in which the UK voted to remain in the EU in 2016.

The report also added that the northeast of England is expected to be hit hardest by Brexit, since its firms are particularly reliant on exports to the EU.

The report is authored by LSE academic Swati Dhingra, an outspoken Brexit critic picked by chancellor Rishi Sunak to sit on the Bank of England’s interest-rate setting monetary policy committee from August.

(With inputs from agencies)

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

Average British workers’ wages will be down, productivity will be hit, and UK’s competitive edge will be lost during the rest of the decade due to Brexit, a new study has claimed.

Average British workers’ wages will be down, productivity will be hit, and UK’s competitive edge will be lost during the rest of the decade due to Brexit, a new study has claimed. The Resolution Foundation think tank’s report, in collaboration with the London School of Economics, has said that splitting away from the EU would make Britain “poorer” during the 2020s and accentuate the cost of living crisis. The study said that the immediate impact of Brexit was already clear, with a “depreciation-driven inflation spike” increasing the cost of living for households and cutting investment. “A less open Great Britain is expected to be poorer and less productive,” it said, according to The Guardian. The study estimated that UK’s labour productivity will dwindle by 1.3 per cent by the end of the decade through changes in trading rules, contributing to weaker wage growth. They said that real pay was set to be £470 lower per worker each year, on average, if Britain goes ahead with its Brexit plan. It further said that the region would see a 2.7 per cent fall in manufacturing output by 2030 compared with a scenario in which the UK voted to remain in the EU in 2016. The report also added that the northeast of England is expected to be hit hardest by Brexit, since its firms are particularly reliant on exports to the EU. The report is authored by LSE academic Swati Dhingra, an outspoken Brexit critic picked by chancellor Rishi Sunak to sit on the Bank of England’s interest-rate setting monetary policy committee from August. (With inputs from agencies) WATCH WION LIVE HERE

Brexit will make UK poorer by 2030, wages will see a massive drop, claims study

A day after the Federal Reserve hiked interest rates to a historic high, US stocks plunged as more central banks around the world hiked interest rates to curb inflation.

The Dow Jones Industrial Average sank over 741 points to end 2.4 points down at 29,927.07 closing below the 30k mark for the first time since January 2021.

<a href="https://www.wionews.com/business-economy/us-federal-reserve-announces-historic-interest-rate-hike-wall-street-stocks-surge-488585">Also Read:&nbsp;US Federal Reserve announces historic interest rate hike; Wall Street stocks surge</a>

The S&amp;P 500 also dived falling 3.3 per cent to close at 3,666.78 and Nasdaq fell &nbsp;4.1 per cent to 10,646.10. The US Federal Reserve on Thursday had announced 75 basis point rate hike which was the highest since 1994.

Watch:&nbsp;US Fed announces highest interest hike since 1994

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/gravitas-us-fed-announces-highest-interest-hike-since-1994-488918/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

However, central banks in UK and Switzerland also hiked rates to curb rising inflation reigniting recession fears. The Swiss National Bank raised interest rates by 50 basis points for the first time in 15 years and the Bank of England raised rates for the&nbsp;fifth time since December by 25 basis points.

UK is currently battling the highest inflation in the last 40 years at nine per cent as the markets in the UK continued to be nervous with London's benchmark FTSE 100 index closing 3.1 per cent down.

The Bank of England indicated that the UK economy will contract &nbsp;0.3 per cent in the second quarter after showing growth in the first quarter.

(With inputs from Agencies)

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

A day after the Federal Reserve hiked interest rates to a historic high, US stocks plunged as more central banks around the world hiked interest rates to curb inflation.

A day after the Federal Reserve hiked interest rates to a historic high, US stocks plunged as more central banks around the world hiked interest rates to curb inflation. The Dow Jones Industrial Average sank over 741 points to end 2.4 points down at 29,927.07 closing below the 30k mark for the first time since January 2021. Also Read: US Federal Reserve announces historic interest rate hike; Wall Street stocks surge The S&P 500 also dived falling 3.3 per cent to close at 3,666.78 and Nasdaq fell 4.1 per cent to 10,646.10. The US Federal Reserve on Thursday had announced 75 basis point rate hike which was the highest since 1994. Watch: US Fed announces highest interest hike since 1994 However, central banks in UK and Switzerland also hiked rates to curb rising inflation reigniting recession fears. The Swiss National Bank raised interest rates by 50 basis points for the first time in 15 years and the Bank of England raised rates for the fifth time since December by 25 basis points. UK is currently battling the highest inflation in the last 40 years at nine per cent as the markets in the UK continued to be nervous with London's benchmark FTSE 100 index closing 3.1 per cent down. The Bank of England indicated that the UK economy will contract 0.3 per cent in the second quarter after showing growth in the first quarter. (With inputs from Agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Day after Fed rate hike, US stocks plunge amid recession fears

uk-inflation

Uk Inflation, News on Uk Inflation, stories on Uk Inflation, articles on Uk Inflation, Uk Inflation stories at Wion, Uk Inflation news, Uk Inflation latest news

uk inflation