August is a big month for next year’s cost of living
August is normally supposed to be a quiet month.
It’s the time of year when kids are off, as are OOOs while people sojourn for the summer. But this year the month is looking a bit, well, important.
There are a couple of really key dates to be aware of, aside from the usual fare.
That is – inflation, which reports on 17 August, is going to be an especially influential figure this month.
The Bank of England announces its latest rate hike on 4 August and is too early to be influenced by this number, but with price rises running above 9% annually the August measure is going to influence how much rail fares are hiked by next year. Expect an eye-watering rise for commuters.
Another really important cost of living flashpoint coming up this month is the Ofgem announcement on the energy price cap change which will come into effect in October. This takes place on 26 August.
Estimates range from around £3,300 to £4,000 at the moment, but there is no doubt pain is coming down the tracks for households whatever the level of the rise. Consider this – at the price cap decision in 2021, the cap was increased to around £1,200. How far we have come, then.
But what else is coming this month? We’ve got A level results on 18 August and GCSEs on 25 August.
The US releases its latest inflation figures on 10 August while Japan reveals its latest growth figures on 15 August and the EU’s come on 17 August.
The ONS publishes monthly retail sales figures on 19 August, giving an insight into the health of the high street, while unemployment and wage stats drop on 16 August.
There’s a mess of politics events this month with the Sunak vs Truss Conservative leadership battle, but see the document for full details of that. The result of the contest doesn’t come till early September. Here’s wishing you a pleasant August from all of us at MRM and Mouthy Money.