The latest measure of the cost of living index confirms that inflation is running higher than the Government's predicted target.
The Bank of England, which is tasked with keeping CPI at a 2% target, had already warned it may reach 3.5% in early 2011.
The Consumer Prices Index (CPI) rose from 3.3% in November to 3.7% last month. (December 2010)
Link these increases with low public sector Pay Increases and the increasing gap between the cost of living in real terms ( food for thought).
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