04 March 2011

UK Consumers Should Brace Themselves For Price Rises

UK consumers have been warned that they will receive a double hit this year from rising oil and food prices. Vince Cable made a statement that said that these price rises had the potential to put the UK’s economic recovery at risk.

Price rises will also put pressure on families who are already struggling perhaps even pushing them into debt.

There is some good news; the UK fuel duty which was due to be levied by a penny next month will probably be scrapped. The fuel duty has been voted as the government’s most unpopular tax in one recent survey.

Global food shortages have been created by adverse weather conditions especially in the Canadian Corn Belt. The demand for food is growing rapidly yet there is simply not enough to go around therefore prices continue to rise. Corn prices have risen by 70.0% this year alone.

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