The United Kingdom has the highest inflation in the G7
How this mom is using coupons to combat inflationHere's what the US economy can expect if a recession hitsHe predicted US inflation would rise.
Hear what he thinks about a recessionA For Sale sign is displayed in front of a house in Washington, DC, on March 14, 2022.
US singer-songwriter Beyonce performs during the 94th Oscars at the Dolby Theatre in Hollywood, California on March 27, 2022.
Historical records from the Office for National Statistics show May’s inflation was the highest since March 1982 — and worse is likely to come.
Sterling, one of the worst performing currencies against the US dollar this year, fell below $1.22, down 0.6% on the day.
Some investors judge Britain to be at risk of both persistently high inflation and recession, reflecting its large imported energy bill and continuous Brexit troubles which could further hurt trade ties with the European Union.
“With the economic outlook so unclear, no one knows how high inflation could go, and how long it will continue for — making fiscal and monetary policy judgments particularly tough,” said Jack Leslie, senior economist at the Resolution Foundation think tank.
Britain’s headline inflation rate in May was higher than in the United States, France, Germany and Italy.
While Japan and Canada have yet to report consumer price data for May, neither are likely to come close.
UK businesses are being hit by soaring prices, a shortage of workers and the fallout from rail strikes.
The British government was doing all it could to combat a surge in prices, finance minister Rishi Sunak said after the data.
Overall consumer prices rose by 0.7% in monthly terms in May, the ONS said, a little more than the 0.6% consensus.