Soaring inflation negates benefits of Sunak’s tax raid

The new inflation figures revealed that price rises are spreading across large swaths of the economy, driven by energy costs.

Diesel has risen by a third over the past year, closely followed by gasoline after Russia’s invasion of Ukraine sent oil prices skyrocketing.

The cost of clothing also saw the biggest rise on ONS records from the late 1980s, up more than a tenth. Food is 5.8% more expensive today than in March 2021, with pasta up more than 10%, lamb nearly 17% and margarine more than a third.

Richard Walker, Iceland’s chief executive, urged the government to take “swift action” to help the country “make ends meet”.

He said: “These latest inflation figures show how serious the cost of living crisis has become.

“While businesses know their customers better than anyone, they cannot be seen as an endless sponge to absorb the deficit presented by the cost of living crisis.”


From furniture to theater tickets, the top ten prices are rising

By Louis Ashworth

Energy and fuel costs may be the main victims, but prices are skyrocketing across the board. Here are some products with the biggest price increases over the past year, and why:

Diesel

Drivers of diesel cars will not be surprised to learn that paying for fuel has become 33.1% more expensive. Pump prices rose by 22p per liter in March alone, according to the RAC, breaking new records.

Second-hand cars

A shortage of semiconductors makes new car inventory less accessible and draws consumers’ attention to older models. This pushed prices up 31.1pc. According to AutoTrader, the biggest increase was seen in family cars, with the average asking price for a used Renault Scenic up 51.4pc to £8,162.

Electricity

Energy prices rose 27.9% However, this significant gain could be the calm before the storm, given the rise in the price ceiling this month.

Furniture

Furniture costs 16.8 pc more. Buyers at Swedish home goods giant IKEA will have felt the pain after it hiked prices on some flat items, such as its Malm table by more than 50pc.

Cinemas/theaters

A trip to see The Batman or a theatrical performance now costs 13.9% more. Cineworld said its average ticket prices rose 32.3% in 2021, to an average of £8.88.

Transportation

It costs 13.7 pc more just to move. Sea transport tickets increased by an average of 18.5% and air travel by 15.4%.

Hotels

Prices for accommodation services rose 10.9% as Britons bank on national holidays. The starting price for a lodge retreat in Cumbria on a leading travel website is 22% higher than at the same time last year.

Clothes

Buying clothes now costs 10.8% more on average. At High Street stalwart Next, a classic-fit long-sleeved Oxford shirt costs £25, up from £20 last April.

Books

The books will cost you 9.7% more, on average, which could tip the price of a typical paperback beyond £9.99 for the first time.

Restaurants

Eating out burns a bigger hole in pockets, with bills up 6.9%. Even cheap and cheerful options such as McDonald’s and Domino’s are planning price increases.

Food

If you choose to stay home and cook, food prices are also 6% higher, with a particularly big jump for seafood. A pack of nine Twixes from Tesco costs £1.50 – 16.7pc more than last April.

Alcohol

Alcoholic beverages and cigarettes cost an average of 4.8% more. A 75cl bottle of Tesco’s Casillero Del Diablo Cabernet Sauvignon would set you back £7.50. Last April it was £6.

About Joel Simmons

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