Dear Chancellor, There it is: 3.x%, with x > 0. What can I say? As that great philosopher Forrest Gump said: “shit happens”. I won’t insult your intelligence the way both of us have at times seen fit to insult the intelligence of the British public - by claiming that the rising world prices of energy, food and other commodities lie behind the increase in the rate of inflation in the UK, the USA, the Eurozone and most of the rest of the world. When the currency floats, as is the case for sterling, central banks make inflation.

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