Inflation’s hit 4% – its highest since 2008. Blame points to high petrol prices, train ticket rises and the new VAT rate. Of course, it’s bad news for all of us, but it could be worse – honestly.
I bet even Madness frontman Suggs doesn’t like driving in his car these days. Who can blame him. Petrol prices are a nightmare. I’m almost tempted to pour a cocktail of cola and vegetable oil into my fuel tank.
Everyone’s pointing the finger at the VAT man, and sure the new 20% rate isn’t helping matters, but I don’t buy into this particular blame game. Bank of England governor Mervyn King sounded like a wounded football manager when the 4% inflation news hit. Well, tough Merv, you’ll get over it, unlike the rest of us.
Tough times ahead
The bankers may be set to forgo their bonuses, but it still looks like they’ll get a tasty salary bung. As usual, it’ll be those of us outside the Square Mile who’ll feel the pinch.
Let’s put it this way, you want a pint? You’d better hope that the ‘last orders’ bell rings soon, because the cost of a drink is going through the roof.
Fancy a holiday? Forget it, the cost of flights are soaring, and the likes RyanAir will stitch you up if you pay by credit card (as if there’s any realistic option). Can’t afford to fly? Well, forget driving to a camp site, the petrol prices will hammer you.
Losers, and some winners
I hate to say it, but with inflation at 4% (and rising) there are no winners outside of the City.
That said, back in the 1970s inflation regularly topped 15%. And while petrol prices are a bitter pill to swallow, at least the cost of footwear has only risen by 1.3%, so at least it’s relatively cheap to walk to work.
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