In May 2022, 49 percent of people in the United Kingdom advised that they were highly dissatisfied with the government's response to the cost of living crisis. High inflation has caused an economic crisis in the UK, with 87 percent of people reporting an increase in their cost of living as of March 2022.

People in Great Britain's experiences of and actions following increases in their costs of living, and how these differed by a range of personal characteristics.

In response to the cost of living crisis, the government of the United Kingdom announced a series of measures to help households in the country. The most widespread of these packages was a 400 British pound energy bill grant announced in 2022, which was allocated to all households in the country. The measure with the highest overall value was the cost of living payment, which will saw approximately eight million UK households on low income receive 650 pounds in two separate payments in 2022, and a further 900 pounds paid in three installments throughout the 2023/24 financial year.

In July 2025, 59 percent of households in Great Britain reported that their cost of living had increased in the previous month, compared with 72 percent in April. Although the share of people reporting a cost of living increase has generally been falling since August 2022, when 91 percent of households reported an increase, the most recent figures indicate that the Cost of Living Crisis is still ongoing for many households in the UK. Crisis ligers even as inflation falls Although various factors have been driving the Cost of Living Crisis in Britain, high inflation has undoubtedly been one of the main factors. After several years of relatively low inflation, the CPI inflation rate shot up from 2021 onwards, hitting a high of 11.1 percent in October 2022. In the months since that peak, inflation has fallen to more usual levels, and was 2.5 percent in December 2024, slightly up from 1.7 percent in September. Since June 2023, wages have also started to grow at a faster rate than inflation, albeit after a long period where average wages were falling relative to overall price increases. Economy continues to be the main issue for voters Ahead of the last UK general election, the economy was consistently selected as the main issue for voters for several months. Although the Conservative Party was seen by voters as the best party for handling the economy before October 2022, this perception collapsed following the market's reaction to Liz Truss' mini-budget. Even after changing their leader from Truss to Rishi Sunak, the Conservatives continued to fall in the polls, and would go onto lose the election decisively. Since the election, the economy remains the most important issue in the UK, although it was only slightly ahead of immigration and health as of January 2025.

The inflation rate in United Kingdom reached a 41-year record high in October 2022. High energy bills, soaring food costs, and various other issues have caused the UK inflation rates to remain in double-digits ever since September last year. This has forced people to look for new ways to deal with the ongoing cost of living crisis, and social media seems to be one of them. Which social media platforms have the most relevant content for consumers to deal with the ongoing situation? According to a survey by We Are Social and Statista Q, around 57 percent of UK TikTok users find helpful content there. Claiming the joint second spot on this list are YouTube and Facebook. Instagram comes on number five on this list, as 41 percent of Instagram users find helpful content there to deal with this crisis.

In May 2022, 49 percent of people in the United Kingdom advised that they were highly dissatisfied with the government's response to the cost of living crisis. High inflation has caused an economic crisis in the UK, with 87 percent of people reporting an increase in their cost of living as of March 2022.

In response to the cost of living crisis, the government of the United Kingdom announced a series of measures to help households in the country. The most widespread of these packages was a 400 British pound energy bill grant announced in 2022, which was allocated to all households in the country. The measure with the highest overall value was the cost of living payment, which will saw approximately eight million UK households on low income receive 650 pounds in two separate payments in 2022, and a further 900 pounds paid in three installments throughout the 2023/24 financial year.

A rapid and unexpected increase in global prices lead to an unprecedented cost-of-living crisis in 2022/23, affecting pupils and their schools who are often the first-line of support for families. This project gathered evidence around the overarching scale of challenges in schools in England, how these varied across settings and groups of pupils, and what steps schools took to mitigate the impacts of the crisis. It drew on nationally representative surveys of teachers and senior leaders in mainstream and special schools, to provide insights into the overarching impact of the cost-of-living crisis on pupils, how day-to-day provision in schools has been affected and the support which schools are providing.

In 2022/23, the government of the United Kingdom spent approximately 20 billion British pounds on the energy price guarantee policy, the most out of any other support policy announced to combat the Cost of Living crisis.

69 percent of UK Gen Z consumers who use TikTok find helpful content on the cost of living crisis there. Coming on number second on this list is Instagram (49 %), followed by YouTube.

The housing costs inflation rate for low-income households in the United Kingdom was noticeably higher than that of high-income ones between April 2022 and April 2023, during a serious cost of living crisis in the UK. As of March 2025, however, the inflation rate for high and medium-income households was slightly higher than that of low incomes ones.

In an August 2025 survey on domestic travel in the United Kingdom, ** percent of respondents planned to spend less on eating out during domestic overnight trips in the next six months due to the cost of living crisis. Choosing cheaper accommodation and looking for more free activities were other popular strategies planned by domestic travelers for saving money.

In July 2025, 95 percent of households in Great Britain that reported a cost of living increase in the previous month advised that that their food bills had increased, with 57 percent reporting increased gas or electricity bills.

In August 2025, the UK inflation rate for goods was 2.8 percent and 4.7percent for services. Prices for goods accelerated significantly, sharply between 2021 and 2022, before falling in 2023. By comparison, prices for services initially grew at a more moderate rate but have also not fallen as quickly. The overall CPI inflation rate for the UK reached a recent high of 11.1 percent in October 2022 and remained in double figures until April 2023, when it fell to 8.7 percent. As of this month, the UK's inflation rate was 3.6 percent, up from 3.4 percent in the previous month. Sectors driving high inflation In late 2024, communication was the sector with the highest inflation rate, with prices increasing by 6.1 percent as of December 2024. During the recent period of high inflation that eased in 2023, food and energy prices were particular high, with housing and energy inflation far higher than in any other sector, peaking at 26.6 percent towards the end of 2022. High food and energy prices since 2021 have been one of the main causes of the cost of living crisis in the UK, especially for low-income households that spend a higher share of their income on these categories. This is likely one of the factors driving increasing food bank usage in the UK, which saw approximately 3.12 million people use a food bank in 2023/24, compared with 1.9 million just before the COVID-19 pandemic. The global inflation crisis The UK has not been alone in suffering rapid price increases since 2021. After the start of the COVID-19 pandemic, a series of economic and geopolitical shocks had a dramatic impact on the global economy. A global supply chain crisis failed to meet rising demand in 2021, leading to the beginning of an Inflation Crisis, which was only exacerbated by Russia's invasion of Ukraine in February 2022. The war directly influenced the prices of food and energy, as both countries were major exporters of important crops. European imports of hydrocarbons from Russia were also steadily reduced throughout 2022 and 2023, resulting in higher energy prices throughout the year.

In July 2025, 59 percent of households in Great Britain reported that their cost of living had increased in the previous month, compared with 72 percent in April. Although the share of people reporting a cost of living increase has generally been falling since August 2022, when 91 percent of households reported an increase, the most recent figures indicate that the Cost of Living Crisis is still ongoing for many households in the UK. Crisis ligers even as inflation falls Although various factors have been driving the Cost of Living Crisis in Britain, high inflation has undoubtedly been one of the main factors. After several years of relatively low inflation, the CPI inflation rate shot up from 2021 onwards, hitting a high of 11.1 percent in October 2022. In the months since that peak, inflation has fallen to more usual levels, and was 2.5 percent in December 2024, slightly up from 1.7 percent in September. Since June 2023, wages have also started to grow at a faster rate than inflation, albeit after a long period where average wages were falling relative to overall price increases. Economy continues to be the main issue for voters Ahead of the last UK general election, the economy was consistently selected as the main issue for voters for several months. Although the Conservative Party was seen by voters as the best party for handling the economy before October 2022, this perception collapsed following the market's reaction to Liz Truss' mini-budget. Even after changing their leader from Truss to Rishi Sunak, the Conservatives continued to fall in the polls, and would go onto lose the election decisively. Since the election, the economy remains the most important issue in the UK, although it was only slightly ahead of immigration and health as of January 2025.

Description and Purpose This data companion pack is a resource intended to frame and be read alongside the linked rapid review of evidence for interventions to address the cost of living crisis (available on the Institute of Health Equity website) . The resource provides intelligence and context on the cost of living crisis in London only, while the accompanying rapid review of evidence for interventions to mitigate the impacts of the rising cost of living on London, contains the recommendations for action.​ This pack is intended to provide a high-level overview of the impacts of the costs of living crisis on London and the need Londoners have for support to deal with the cost of living crisis through intelligence available in the public domain.  This pack identifies how certain groups in the population already experiencing health inequalities are at greatest risk of poverty and worsening health due to the cost of living crisis. Given there are significant gaps in intelligence available, this pack also highlights these gaps and limitations in our understanding. Audience It will be useful for health leaders, analysts, officers, and policy makers from local and regional government, integrated care systems, NHS, academia, VCS organisations and partners across London to support their work to address the costs of living crisis by​ Advocating for the need for action to address the rising cost of living given impacts on health and health inequalities ​ Framing the context for the interventions highlighted in the linked rapid review of interventions​ Engaging communities ​ ​Development of this resource The Institute of Health Equity (IHE), Greater London Authority (GLA) Health, GLA City Intelligence Unit, Office for Health Improvement and Disparities London (OHID), Association of Directors of Public Health London (ADPH), and NHSE have collaboratively produced this report, as part of the Building the Evidence (BTE) programme of work The sources of data available and topics included have been identified from existing published data, working in partnership through iterative discussion The resource is provided in PDF and PowerPoint format to support colleagues in their work to There is no current plan for periodic updates of this resource, though this will be discussed on completion of this programme of work

The core inflation rate for the UK was 3.6 percent in August 2025, up from 3.8 percent in the previous month. Core inflation measures inflation without food and energy prices, which can be far more volatile than inflation for other goods and services.

As of June 2022, 84 percent of people in the United Kingdom advised that they had spent less on clothes for themselves in an attempt to save money long term due to the cost of living crisis. Other actions taken include travelling less to meet friends, putting off a big purchase, and cutting back on trips in the car all at 72 percent of respondents.

In July 2025, 60 percent of households in Great Britain said that they had started to spend less on non-essentials in response to their cost of living increasing.