Inflation in the UK has hit a new 41-year high of 11.1% - with rising energy prices and the cost of food being the biggest contributors.
Consumer Price Index (CPI) inflation remained in double digit figures in the 12 months to October - and is up from 10.1% in September.
It means CPI is now at its highest level since October 1981.
The Office for National Statistics (ONS) has revealed the main driving forces behind the latest inflation increase.
The sky-high cost of energy bills has been a huge worry for households over the last year - and it comes as no surprise that this was a huge contributor to soaring inflation.
Meanwhile, food and non-alcoholic prices rose by an eye-watering 16.4% on the year to October.
Here is what happened in October to send inflation surging higher.
Energy bill for typical household is now at £2,500
The new Energy Price Guarantee kicked in from October 1 - this “froze” energy bills for the typical household at £2,500 a year
But this isn’t a total cap on your bill.
Instead, it is a limit on unit rates and standing charges - meaning if you use more energy, you’ll pay more, or use less, and your bill will be less.
However, the Bank of England had warned inflation would have surged above 13% without the energy help - which would've seen households hit with typical bills of £3,549.
But this is still higher than the £1,971 Ofgem price cap that was in price before October - and energy bills still remain over £1,000 a year more expensive compared to 12 months ago.
The new Chancellor Jeremy Hunt has confirmed that the Energy Price Guarantee will be cut from April 2023, instead of lasting a full two years until October 2024.
There will be targeted energy bill help instead, although the Government has yet to say who will receive this.
Cost of food and drink prices now at highest level in 45 years
Food and non-alcoholic drink prices rose by 16.4% on the year to October. The ONS says this is the highest since September 1977, or 45 years.
Food prices are rising due to the Ukraine war, which is continuing to push up the cost of animal feed, fertiliser and vegetable oil.
Retailers are also being hit by higher energy costs and rising wages, with this being passed down to customers.
The ONS has a breakdown of how much some items have risen in price.
For example, low-fat milk soared by 48% since last October, margarine cost 42% more and pasta went up by 34%.
Butter increased by 29%, bread prices rose by 14.4%, fish cost almost 16% more and eggs were up 22%.
Here is a full breakdown, with the figure showing the percentage change in the average price over the 12 months to October 2022.
- Low-fat milk: (+47.9%)
- Margarine and other vegetable fats: (+42.1%)
- Pasta and couscous: (+34.0%)
- Sauces, condiments, salt, spices and culinary herbs: (+33.2%)
- Whole milk (+32.6%)
- Butter: (+29.7%)
- Olive oil: (+28.3%)
- Cheese and curd: (+27.1%)
- Frozen vegetables other than potatoes: (+23.7%)
- Eggs: (+22.3%)
- Jams, marmalades and honey: (+22.2%)
- Ready-made meals: (+20.3%)
- Potatoes: (+19.9%)
- Poultry: (+19.7%)
- Meat: (+15.7%)
- Fish: (+15.7%)
- Yoghurt: (+15.7%)
- Bread: (+14.4%)
- Crisps: (+13.9%)
- Edible ices and ice cream: (+13.1%)
- Pizza and quiche: (+12.1%)
- Fresh or chilled vegetables other than potatoes: (+11.9%)
- Sugar: (+10.9%)
- Fruit: (+10.3%)
- Rice: (+9.6%)
- Chocolate: (+8.6%)
- Breakfast cereals and other cereal products: (+7.7%)
- Confectionery: (+5.6%)
- Dried fruit and nuts: (+3.8%)
What is rising in price the most?
Here is how prices are changing, according to the ONS:
- Housing and household services: (+26.2%)
- Food and non-alcoholic beverages: (+16.2%)
- Furniture and household goods: (+10.5%)
- Restaurants and hotels: (+9.6%)
- Transport: (+8.9%)
- Clothing and footwear: (+8.5%)
- Alcohol and tobacco: (+6.1%)
- Recreation and culture: (+5.8%)
-
Miscellaneous goods and services: (+5.1%)
- Health: (+4.2%)
-
Education: (+3.2%)
- Communication: (+3.2%)
