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UK inflation in December 2024

Inflation in the United Kingdom in December 2024 saw a slight increase compared to the previous month, reflecting the ongoing challenges facing the global economy. The Office for National Statistics (ONS) reported that the Consumer Price Index (CPI) rose by 0.3% in December, up from 0.2% in November.

One of the main drivers of this increase was the rising cost of energy, with gas and electricity prices continuing to climb as a result of supply chain disruptions and geopolitical tensions. This has put pressure on households already struggling with the economic fallout from the pandemic and rising inflation.

Another contributing factor to the increase in inflation was the rising cost of food and non-alcoholic beverages, as well as transportation and housing costs. The cost of goods and services across the board has been on the rise, putting a strain on consumers and businesses alike.

The Bank of England has been closely monitoring the inflationary pressures in the economy and has indicated that it may need to raise interest rates to curb rising prices. However, there are concerns that higher interest rates could slow down economic growth and dampen consumer spending, which has been a key driver of the recovery.

Overall, the inflationary pressures in the UK economy in December 2024 reflect the broader challenges facing the global economy, including supply chain disruptions, rising energy prices, and geopolitical tensions. It is crucial for policymakers to carefully balance the need to control inflation with the need to support economic growth and ensure that households and businesses are not unduly burdened by rising prices.