Inflation is coming – here s how to fight back and protect your money
Economists are forecasting inflation to reach 5pc in 2022
Energy costs were the biggest contributor to rising prices
We are about to enter a period of higher inflation as pent-up demand is unleashed after 15 months of restrictions, economists have warned.
What has been obvious on investment trading screens since the start of the year, as commodity prices rose and bond prices fell, will soon start to affect consumers when they go to the shops, pay their energy bills and plan their retirement, experts fear.
Inflation figures released this week showed the annual rate of price increases more than doubled between March and April as the Consumer Price Index rose from 0.7pc to 1.5pc. A jump in energy costs was the main contributor thanks to a rise in the price of oil.
I bought an £85,000 bond a day too early and lost hundreds
Rates are increasing so moving one day too early can cost hundreds in lost returns
22 May 2021 • 5:00am
Savers who lock money into fixed-rate accounts too early risk losing out on hundreds of pounds as banks raise interest rates.
The average one-year fix crept up by 0.2 percentage points to 0.44pc between April and May. Smaller banks now offer much more competitive rates.
Locking into a top-paying account could potentially cost savers hundreds in lost interest payments if rates continue to rise, however.
Romain Hevry, 30, from London, deposited £85,000 into a one-year fixed rate savings account with Atom Bank the day before it raised its rates. The newer interest payment would have earned Mr Hevry significantly more over the 12-month term.
22 May 2021 / 11:55 H. Pix for representational purpose only.
PUTRAJAYA: The Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) has issued compounds amounting to RM64,050 and seized items with an estimated value of RM52,897.31 during the enforcement of the Festive Season Maximum Price Control Scheme (SHMMP) in conjunction with Aidilfitri celebration.
KPDNHEP enforcement director, Azman Adam, said a total of 73 complaints were received during the period, from April 21 to May 20, all of which have been investigated and action will be taken.
He said a total of 51,138 inspections were carried out nationwide and action had been taken against traders who had failed to comply with the rules set.