UK Inflation Reaches 9.1 Percent, Highest for 40 Years

British pound sterling banknotes are seen in a box at the Money Service Austria company's headquarters in Vienna, Austria, on Nov. 16, 2017. Leonhard Foeger/Reuters

The inflation rate in the UK rose to 9.1 percent in May, remaining at 40-year highs and deepening the squeeze on households, latest data show.

According to the Office for National Statistics (ONS), the rate of consumer prices index inflation rose from 9 percent in April to 9.1 percent in May—the highest since early 1982—largely driven by food and non-alcoholic beverages, transport and housing, water, electricity, gas, and other fuels.

“Though still at historically high levels, the annual inflation rate was little changed in May,” said ONS Chief Economist Grant Fitzner.

“Continued steep food price rises and record high petrol prices were offset by clothing costs rising by less than this time last year, and a drop in often fluctuating computer games prices.

“The price of goods leaving factories rose at their fastest rate in 45 years, driven by widespread food price rises, while the cost of raw materials leapt at their fastest rate on record.”

Responding to the latest inflation figures, Chancellor of the Exchequer Rishi Sunak said: “I know that people are worried about the rising cost of living, which is why we have taken targeted action to help families, getting £1,200 [$1,470] to the 8 million most vulnerable households.

“We are using all the tools at our disposal to bring inflation down and combat rising prices, we can build a stronger economy through independent monetary policy, responsible fiscal policy which doesn’t add to inflationary pressures, and by boosting our long-term productivity and growth.”

‘Global Inflationary Problem’

At Prime Minister’s Questions in the House of Commons, Ian Blackford, the leader of the Scottish National Party in the UK Parliament, asked Prime Minister Boris Johnson if he thinks his government “bears any blame” for the economic situation.

Johnson replied, “I think the whole House knows, and the whole country knows we have got a global inflationary problem, but this government has the fiscal firepower to deal with it.”

Some of the biggest changes in prices from April were those of food items, with the war in Ukraine being a major factor.

The price of flour and other cereals in the UK had been decreasing before the war started, but has been ticking up since.

Energy bills rose by 54 percent for the average household at the beginning of April. The Bank of England has predicted that inflation will spike at more than 11 percent in October after the government-imposed cap on energy bills rises again.

PA Media contributed to this report.