Tuesday, May 17, 2011
King virtually asks for wage restraint as inflation figures approach tipping point
I imagine the cat will be out of the bag if inflation figures of 5% (RPI or CPI) or over are seen next month. The man with thick glasses comes up with some good quotes in the article like, 'resistance to the erosion of real take-home pay', and 'volatility in energy and commodity prices makes it difficult to be sure when inflation will return to the target'. Chuck in the comment at the end about any interest rate rises being 'the straw that breaks the camel's back' and it must be obvious to all that there is only one way this will go.