As double-digit inflation continues, food prices in Britain have surged to their highest point in almost 50 years, while real wages have once again declined.
Research from the United Kingdom’s Office for National Statistics (ONS) found that the consumer prices index (CPI) stayed in double digits in March, holding at 10.1%.
The organization found that the cost of cereal and bread shot up 19.4% in the year to March 2023, marking a record rate for the products since they began being tracked in January 1989.
Other reported record price hikes were seen with food produced via olive oil which climbed up by 49% on the year, in addition to milk products at 38%, and pre-made foods at 21%, according to Breitbart News.
Annual inflation has slowed following a rise in Feb 2023:
▪️ Consumer Prices Index including owner occupiers’ housing costs (CPIH) rose by 8.9% in the 12 months to Mar 2023, down from 9.2% in Feb 2023
▪️ CPI rose by 10.1%, down from 10.4%
— Office for National Statistics (ONS) (@ONS) April 19, 2023
Recently, Elon Musk predicted a massive inflationary crisis, suggesting to Fox News host Tucker Carlson that in due time economies are bound to face even more dire situations than they are now.
🚨 Elon Musk Predicts a Financial Crisis Happening Later This Year
.@elonmusk explains that money is simply digits in a database, reflecting the production of businesses and services in an economy. If both factors stay constant, inflation can be controlled. But when money enters… pic.twitter.com/g9cn0ziP4x
— Dr. Simon Goddek (@goddeketal) April 19, 2023
ONS chief economist Grant Fitzner commented on the aforementioned data points, explaining, “The main drivers of the decline were motor fuel prices and heating oil costs, both of which fell after sharp rises at the same time last year.”
He continued, “Clothing, furniture, and household goods prices increased, but more slowly than a year ago. However, these were partially offset by the cost of food, which is still climbing steeply, with bread and cereal price inflation at a record high.”
Fitzner pointed out that “overall costs facing business have been largely stable since last summer,” but also noted that prices nonetheless remain high.
This news of unprecedented levels of inflation in the U.K. comes months after Prime Minister Rishi Sunak, a former Goldman Sachs banker, pledged to slice inflation and bring economic growth, among other things.
“In all of these things, I’ve deliberately not put a specific month … because I don’t think that’s responsible with goals that are so complicated,” he said at the time.
As prices continue to rise, real wage earnings have sunk for British workers, with The Times reporting that the group is on average 3% poorer as compared to a year ago.