Title page

Contents

Summary 4

1. Inflation rising 6

1.1. Recent developments 6

1.2. Impact of conflict in Ukraine 8

1.3. Forecasts 9

1.4. International comparisons 10

1.5. Energy price rises 11

1.6. Road fuel prices 14

1.7. Food prices 15

2. Additional pressures on household budgets 17

2.1. Changes in taxes 17

2.2. Changes in benefits 19

2.3. State pension uprating 20

2.4. Some changes to taxes and benefits will also benefit households 20

2.5. Jobs and wages 22

2.6. Interest rates 22

3. Impact of inflation on low-income households 24

3.1. Food and energy spending 24

3.2. The impact of inflation on benefits 26

4. Further reading 28