Call 0800 781 8783 - email principal@lloydbottoms.co.uk

Inflation hits fresh 40-year high of 9.4%

The rate of inflation has hit a fresh 40-year high, according to the latest data from the Office for National Statistics (ONS).

20 Jul 2022

The rate of inflation has hit a fresh 40-year high, according to the latest data from the Office for National Statistics (ONS).

The UK's consumer price inflation reached an annual rate of 9.4% in June, up from May's figure of 9.1%, the ONS said.

It said that June's inflation figure was partly due to a 42% year-on-year increase in petrol prices and an increase of almost 10% in food prices.

The prices paid by factories for materials and energy were 24% higher in June than a year earlier – the biggest increase since records began in 1985 – while prices charged by factories jumped by 16.5%.

The Bank of England is expecting a further acceleration in October when the energy price cap is adjusted again and is predicted to surge towards average annual bills above £3,000.

Anna Leach, Deputy Chief Economist at the Confederation of British Industry (CBI), said: 'This data underscores the need to give people more control over their energy bills: through speeding up planning decisions for electricity infrastructure and creating a national effort to help households better insulate their homes. 

'But to build resilience to price shocks over the longer-term, the government needs to focus on boosting the economy's supply potential. Incentivising investment through a permanent successor to the super deduction and supporting the development of green infrastructure are crucial first steps.'

Download our TaxApp Now

Tax rates, tips and calculators at your fingertips

Find out more

Register for newsletter

Why not register to receive our Monthly Newswire?

Find out more

Try a site search Tax return, dividends, pension, budgets...

Contact us | Site map | Accessibility | Disclaimer | Privacy |

Regulated by the Institute of Chartered Accountants in England and Wales for a range of investment business activities.

Lloydbottoms Chartered Accountants, 118 High Street, Staple Hill, Bristol BS16 5HH

We are a member of the Institute of Chartered Accountants in England and Wales and in our conduct are subject to its Code of Ethics which can be found at www.icaew.com/en/members/regulations-standards-and-guidance/ethics. This is available in English.

We confirm that we are licensed to carry on general accountancy and tax practice by the Institute of Chartered Accountants in England and Wales. Details about our registration as practicing members of the Institute of Chartered Accountants in England and Wales can be viewed at http://find.icaew.com using our postcode.

© 2022 Lloydbottoms Chartered Accountants. All rights reserved. We use cookies on this website, you can find more information about cookies here.