Inflation on the rise due to the soaring cost of petrol
Official figures from the Consumer Prices Index have shown that the increase in the price of petrol has been a cause for inflation to rise for the second month in a row.
The CPI petrol prices rose nearly 3p in November, compared to a fall of 9.3p the year before, which has added to inflationary pressure ? most economists underestimated the 1.8% inflation figure for the month.
The figures are still below the government?s target but don?t forget that we?ll soon be seeing VAT rise back to 17.5%, pushing prices for nearly all products including petrol up by another 2.5%, something many people don?t take into account.
The rising cost in clothing and second hand cars is believed to also contribute to the inflation figure, and some airlines have even lowered their prices by less than they did in 2008. Luckily there have been some falling costs, mostly in the food market with falling prices in vegetable meat and dairy products.
With petrol prices rising higher than ever, now is a good time to make sure that you aren?t wasting any money on fuel and petrol. You can save more money by using supermarket petrol schemes which allow you to save cash if you buy your petrol at the same time you do your shopping, but you can also save cash by changing the way you drive.
Keeping the air conditioning off as much as possible, making sure you tires are fully inflated and keeping your car free of heavy objects will all make tiny changes in how much petrol you use, which in turn will save you plenty of money in the long run.