Poll: Sharp Rise in Concern about Inflation as Britons Think the State of Economy is Poor

Public sentiment in the UK regarding inflation and the cost of living is increasingly pessimistic, with a significant majority expecting inflation to rise across essential categories like food, utilities, and general household expenses.

This concern has grown markedly, with 71% of respondents in a recent Ipsos survey expecting inflation to increase, compared to 40% at the start of the year.

Inflation Expectations and Economic Perception

• Food and Shopping Costs: Eight in ten Britons anticipate increases in food and household shopping prices, with the UK ranking fourth globally in concern over food price inflation.
• Household Bills: Older demographics (55-75) are particularly worried about utility bills, with 93% expecting increases, reflecting anxieties about reduced winter fuel payments for pensioners.

Economic Sentiment

• State of the Economy: Public perception of the economy under Labour has worsened since the October budget, with 75% rating it as "poor." This is better than during the aftermath of the 2022 mini-budget under Liz Truss, but still a significant challenge for Labour.
• Tax Concerns: Despite promises of no tax increases for working people, 63% of Britons believe taxes will rise, with the most concern among those earning £35k-£55k annually.

Political Implications

• Cost of Living Handling: Nearly half (48%) think Labour is doing a bad job on the cost of living, though this is an improvement compared to perceptions of the previous Conservative government (55%).
• Trust in Economic Management: Labour remains slightly more trusted than the Conservatives on economic issues, but a growing number of people (40%) express distrust in both parties. Labour is under pressure to show tangible improvements in living standards to maintain this trust.

Challenges for Labour

Labour faces the dual challenge of addressing cost-of-living concerns while managing public expectations on inflation and taxes. As Gideon Skinner from Ipsos notes, the party must connect improvements in daily life with broader economic strategies to counteract growing public pessimism.
Edited by Evans Momodu
Source: Sky news