COMMENT: Managing Cost of Living Crisis not as easy as some think

The British Retail Consortium said growing shop prices reflect the impact of energy costs, the war in Ukraine and the COVID-19 lockdown in China. 

With a growth of 2.7% increase on prices, the highest since September 2011 and up from 2.1% in March. We have families in this country (the sixth-largest economy in the world) choosing between eating or paying rent on their houses.

“People are seeing their wages fall, fuel and food costs rise, and families are worried about how to make ends meet.” said Labour’s shadow chief secretary to the Treasury Pat McFadden.

It doesn’t make it easier when someone like George Eustice, the environment secretary, says: “Generally speaking, what people find is by going for some of the value brands rather than own-branded products – they can actually contain and manage their household budget.”

If only it was that simple, going for a value brand to save money, the economic crisis is fixed! Seriously, being told by the environment secretary to just shop in Aldi and you will be saved is ridiculous, out of touch and quite frankly offensive.

Food prices grew by 3.5% in the year to April, up from 3.3% in March. The Bank of England has warned that inflation – which reached 7% in March – could exceed more than 8% this year.

Boris Johnson was asked on good morning britain what 77-year-old viewer Elsie should do, as she has cut down to one meal a day, and keeping warm by sitting on buses all day.

These kind of stories break my heart and I find it hard to fathom that this is happening up and down this country. Almost a quarter (23%) of adults reported that it was ‘very difficult’ or ‘difficult’ to pay their regular household bills in March compared to a year ago.

Why is there a crisis?

There has been talk that the current crisis is a direct result of the war in Ukraine. But while this is an important factor, there are many other causes that have contributed, according to forbes advisor, these are the following reasons,

  • Covid-19
  • Weather
  • Economic resurgence
  • Regulation
  • Environmental concerns
  • Power stations 
  • Supply chains
  • Agriculture
  • Commodity prices

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