UK Inflation, May 2017 - PwC comments

May 16, 2017

Commenting on the ONS consumer price figures out today, Andrew Sentance, senior economic adviser at PwC, commented:

"Inflation has risen to its highest level since the autumn of 2013, and this is adding to the squeeze on consumer spending shown in the latest retail sales figures. We should expect this rise in inflation to continue as the impact of the weakness if the pound feeds through into higher prices for imported goods and services.

"Inflation is set to rise to around 3pc or higher in the months ahead - with prices likely to be rising faster than wages. The resulting squeeze on consumer spending will reinforce the slowdown in economic growth we are now seeing."

Ends.

About PwC

At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 223,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.

PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details. © 2017 PwC. All rights reserved

Contact us

Tilly Parke
Manager, media relations
Tel: +44(0)7551 235 010
Email

Follow us