532 | Inflation is rising AGAIN: What it really means for your money
Summary
Host Steve Alderton and guest James Andrews discuss the recent rise in UK inflation to 2.9%, explaining its impact on interest rates, mortgages, and state pensions. They clarify the differences between CPI and RPI measures, noting how various contracts link to these indices. The episode also covers stagflation risks, the composition of the inflation basket, and actionable advice for managing savings and debt in a high-inflation environment.
Topics discussed
Introduction and episode overview
Understanding inflation targets and the Goldilocks zone
What drives inflation changes and recent trends
How inflation impacts mortgages, pensions, and contracts
RPI vs CPI and the oddity of GDP including illegal drugs
The inflation basket: what is included and excluded
Negative inflation and its effects on savings and loans
Stagflation, wage-price spirals, and economic theory
Actionable advice for savings, salaries, and mortgages
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