Reported 4 months ago
Britain's richest households are facing higher inflation rates compared to poorer segments due to high mortgage costs and rapid price increases in restaurants and hotels. The top 10% of households saw a 5% inflation rate in March, a shift from a year ago when the poorest were experiencing higher inflation rates. While the poor have been alleviated by cooling energy and food inflation, the wealthy are now feeling the impact with high mortgage costs and rising prices for discretionary items they consume more of, like restaurants and services. The figures highlight the effects of interest rate rises by the Bank of England on mortgage holders, with retirees experiencing a lower inflation rate at 3.4%.
Source: YAHOO