The Bank of England's decision to keep interest rates on hold has sparked concerns about the impact on UK household budgets. The move comes despite warnings from economists that rising inflation could lead to higher borrowing costs for consumers.
According to a recent report, energy bills are expected to increase by up to 10% in the coming months, while food prices may rise by as much as 5%. Housing costs are also set to rise as property values surge and mortgage rates climb.
Government support schemes, such as the Energy Price Guarantee and the Help to Buy initiative, may provide some relief for struggling households. However, experts warn that these measures may not be enough to cushion the blow of rising living costs.
The Bank of England's decision has been met with disappointment from consumer groups, who claim that it fails to address the root causes of inflation and does little to help low-income families make ends meet.