UK consumer prices hit a 40-year high of 9.1% in May, the highest among the G7 leading economies — and is forecast to climb above 11% later this year despite a series of interest rate hikes.

And households are feeling the strain. Eye-watering energy and grocery bills have thrown Britons into the worst cost-of-living crisis in decades. The Bank of England predicts that disposable incomes will suffer their second biggest decline this year since records began in 1964.

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Grocery bill inflation hit nearly 10% in the four weeks ending on July 10, according to data from research firm Kantar released on Tuesday. That means that Britons can expect to spend an additional £454 ($545) this year on food and essentials.

Energy bills, which rose by 54% in April, are estimated to top £3,000 ($3,603) per year for millions of households from October, according to energy research firm Cornwall Insight. That's when the government next adjusts a price cap that limits the amount suppliers can charge customers per unit of energy.

UK consumer prices hit a 40-year high of 9.1% in May, the highest among the G7 leading economies — and is forecast to climb above 11% later this year despite a series of interest rate hikes.

And households are feeling the strain. Eye-watering energy and grocery bills have thrown Britons into the worst cost-of-living crisis in decades. The Bank of England predicts that disposable incomes will suffer their second biggest decline this year since records began in 1964.

*

Grocery bill inflation hit nearly 10% in the four weeks ending on July 10, according to data from research firm Kantar released on Tuesday. That means that Britons can expect to spend an additional £454 ($545) this year on food and essentials.

Energy bills, which rose by 54% in April, are estimated to top £3,000 ($3,603) per year for millions of households from October, according to energy research firm Cornwall Insight. That's when the government next adjusts a price cap that limits the amount suppliers can charge customers per unit of energy.