Inflation is rising fast United Kingdom. triggered fluctuation strikesIt is the central and practically unique issue of conservative primaries, and it suffocates citizens who see how. Shopping cart increased 630 Euro per person per year, according to the company Kantar. Last week, the national strike railways paralyzed the country and the subways and buses from London to the capital.
dockers FelixstoweThe country’s main freight port has called for an eight-day strike that will have a strong impact on citizens’ daily lives as half of British imports and exports pass through containers. Food, clothing, car parts or electronics are paralyzed at the port. This Friday the post office will start and this Monday public defenders They voted to go on strike from September 5th.
workers are asking salaries commensurate with the high cost of living. Inflation has already reached 10.1%biggest since 1982. The Bank of England estimates it will reach 13% in October. However, the bank city calculated to rise. 18.6% in January as from 2023 electricity bills will rise and the central bank will need to revise and upgrade its forecast. The last time the UK reached these levels, 18%, was in 1976. International Monetary Fund (IMF).
Backlash of gas and electricity
Citi, the maximum price energy bills In the UK it will increase from the current 2,330 euros in April to 6,877 euros. gas and electric in the last week. He also believes that Retail price index (including CPI plus mortgage prices) will reach 21%. Currently at 12.3%. The Bank of England has already increased 0.5% interest rates until the beginning of the month 1.75% and Citi advises you may have to increase them to 6% or 7%.
The country has had an interim government since Boris Johnson resigned on 7 July. this Conservative Party It organizes primary elections to choose the new leader of the formation that will be a new leader. Prime minister Johnson’s replacement For the past few weeks, as inflation has soared and strikes have continued, vacuum power because the Manager cannot make decisions that endanger the new leader, and Johnson continues holiday over the Greek islands.
Truss vs. Altar
The debate between the two candidates to replace Johnson focuses on how to deal with this cost of living crisis and how to reduce inflation. big favourite, Liz Cagebet someone lower taxes It’s a bid of around 60,000m euros, backed by the majority of party militants who are those who have to choose the new leader. Truss is offering an economic aid package to families so they can pay their electricity bill, which Citi estimates could reach 47.3 billion euros, which is higher than their bill.
On your own behalf Rishi AltarDefenders of Johnson’s finance minister who forced his downfall raise taxes To reduce inflation in the long run. Sunak accuses Truss of being unrealistic in his promises and of wanting to plunge the country into an “inflationary spiral.” “The truth is, Truss can’t offer a support package and provide $60 billion in unfunded, permanent tax breaks,” Sunak said. Said. “To do so would mean raising debt to historic and dangerous levels, seriously jeopardizing public finances, and putting the economy in an inflationary spiral.” This is the great primary debate. A new prime minister will be elected soon September 5. The new leader will inherit an economically collapsed country and there will be no room for error.