UK inflation is on course to hit 18.6 per cent in January — the highest peak in almost half a century — because of soaring wholesale gas prices, according to a new forecast from Citigroup based on the latest market prices.UK inflation is on course to hit 18.6 per cent in January — the highest peak in almost half a century — because of soaring wholesale gas prices, according to a new forecast from Citigroup based on the latest market prices.
Such a rate of inflation would squeeze household incomes hard and further push the UK economy into recession, but Mr Nabarro said the scale of the likely inflation would push the Bank of England to tighten monetary policy further. The energy regulator Ofgem will on Friday announce the energy price cap for the period between October and January, which most analysts expect to rise to more than £3,500 for a household with average usage of energy — an increase of 75 per cent on current levels.
“Even with the economy softening, last week’s data reaffirmed the continued risk of pass through from headline inflation into wage and domestic price setting could accelerate,” he said.
IrishTimes I'm not saying they're trying to shut down small businesses, destroy the middle class, transfer the majority of the wealth to the world's largest corporations, and divide us with fear and hatred. But if they were, what would they be doing differently?