Despite predicted slowdown in UK economic growth, UK inflation in 2008 has slightly increased above the government’s target of 2%.
There is also an increasing gap between CPI inflation and RPI inflation
source: ONS
RPI inflation includes housing costs and mortgage interest payments. CPI inflation is considerably lower. This affects people who have index linked benefits. It means there actual living costs may be going up by more than the index linked benefits.
Inflationary pressures are currently coming from:
- Road fuels, petrol diesal
- Wheat
- Commodities
UK inflation is currently lower than the EU average of 3.3%
More on Inflation
6 comments ↓
[...] 1997, the UK has enjoyed a period of unbroken economic growth and low inflation. It appears that the UK has been able to avoid the ‘boom and bust‘ economic cycles that [...]
[...] CPI and RPI inflation in the UK [...]
Does anyone know where I can get the latest RPI for August 2008?
I’ve tried google but i’m finding it difficult to find the latest by month
[...] CPI inflation is currently 3.2% CPI Inflation [...]
Nice article, very informative.
Leave a Comment