Concern at inflation

15 February 2011

Campbell Robb

Inflation could lead to homelessness for people who are already struggling to pay their housing costs, Shelter said today.

In response to today’s Consumer Price Indices (CPI) report which shows inflation has risen to four per cent, Campbell Robb, Shelter’s Chief Executive said:

‘This rise in inflation means basic living costs such as food and utility bills are soaring at a time when many people are either having their wages frozen or are losing their jobs.

‘People are already desperately struggling, with more than two million so financially stretched they are resorting to credit cards to pay their rent or mortgage. This latest increase will seriously threaten their ability to keep a roof over their head in the coming months.’

Mr Robb continued: ‘We are also very concerned about the additional pressure rising inflation will put on the Bank of England to raise interest rates, potentially pushing almost three million homeowners into a spiral of debt, repossession and possible homelessness.'

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