Inflation rises again: Positive Money response

London, 14th August 2024 - Positive Money responds to the ONS’ announcement today that headline inflation rose to 2.2% in the year to July, up from 2% in the year to June.

Hannah Dewhirst, Head of Campaigns at Positive Money, said: 

“Inflation is rising again due to a combination of corporate profiteering, climate-related weather events, and the fading effect of last year’s energy price falls.

“Pre-empting responsibility for this being directed its way, the Bank of England has resorted to blaming workers for inflation again, despite wage growth being at its lowest in two years.

“The only reason the Bank is blaming workers is because demand-side inflation is the only kind interest rates can address. What policymakers should be doing is think about how to protect against the burgeoning drivers of inflation in today's world, such as environmental breakdown and corporate power.”

Notes:

1. The ONS’ latest inflation figures can be found here: https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/consumerpriceinflation/july2024 

2. Hannah has previously appeared on Talk TV, Good Morning Britain and LBC News, amongst other outlets.

3. ONS data this week found wage growth, excluding bonuses, was 5.4% year on year over the three months to June, slipping from 5.7% in the previous three months and represented the smallest increase since the period to July 2022, when it was 5.2%:  https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/employmentandemployeetypes/bulletins/uklabourmarket/august2024 

About

Positive Money is an international research and campaign organisation working to redesign our economic system for social justice and a liveable planet. Set up in the aftermath of the financial crisis, Positive Money is a not-for-profit company funded by charitable trusts and foundations, as well as small donations from its network of supporters. Find out more: positivemoney.org