Tuesday, August 10, 2010
The true inflation rate is closer to 10 per cent than five, and may even be higher says Martin Vande
Id guess the true middle-class inflation rate is closer to 10 per cent than five, and may even be higher. If you dont believe me, start with the basics and scrutinise your grocery bills. I nearly fainted in the deli when I was told that the Â£13.40 sticker on a kilo bag of Yorkshire Dales Granola was not an error. Nearby, a small jar of local honey cost a startling Â£6 possibly due to a global bee crisis, but also because thats the way prices are heading for all food items that are a cut above the two-for-one value-pack supermarket ranges. Even staple items are vulnerable to sudden hikes: a surge in wholesale wheat prices, no doubt encouraged by hedge-fund speculators, is about to add 10 pence to your basic loaf of bread.