Rishi Sunak gloats about inflation fall that had nothing to do with him

15 November 2023 , 18:59

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Rishi Sunak (Image: Getty Images)

Rishi Sunak crowed over inflation falling, even though it had nothing to do with him and millions still struggle with the cost of living.

The PM gloated “we’ve done it” after the consumer prices index dropped sharply last month, from 6.7% to 4.6%. Mega-rich Mr Sunak pledged in January – when inflation was 10.7% – the Government would halve it this year. But the Office of National Statistics said the main reasons were a drop in energy prices and Bank of England rate hikes – both outside Government control.

Paul Johnson, director of the Institute for Fiscal Studies, said: “The job of cutting inflation is for the Bank of England.” He branded the PM’s January pledge “opportunistic” given inflation was expected to fall anyway. Others said the cost of living misery is far from over for very many families.

The Bank of England (PA)

While inflation has fallen year-on-year, it is still 16% higher than two years ago. Energy bills are nearly 50% above where the were before Russia ’s invasion of Ukraine. Food and drink price inflation has ease, but still stood at 10.1% last month. Grocery prices remain a budget-busting 30% higher than in 2021.

Inflation is still 16% higher than two years ago. Energy bills are nearly 50% up and groceries 30% more expensive than in 2021. Paul Carberry, chief executive at Action for Children, said: “It may be mission accomplished for Government but prices continue to rise and the choice of what to go without becomes more brutal.”

Shop prices 'are yet to peak and will remain high' as inflation hits new heights

The Joseph Rowntree Foundation said in October, 5.9million households went hungry and a quarter borrowed money. JRF chief analyst Peter Matejic said: “The people who had to take on debt in order to eat, or the people who took something they cherished to a pawnbroker just to buy warm clothes for their children, are not feeling the financial security Rishi Sunak promises.

“They live in a world where their income, in many cases, simply doesn’t cover costs while the Government talks about cutting their support further.” Labour’s shadow chancellor Rachel Reeves said now was not the time for Conservative ministers to be “popping champagne corks and patting themselves on the back”.

The ONS said “core” inflation - which strips out volatile factors and is closely watched by the Bank of England - eased to 5.7% With wage growth slowing, economists believe the Bank will start cutting interest rates by the middle of next year.

Graham Hiscott