Responding to new ONS inflation figures, which show that the consumer prices index held steady at 3.0% in the 12 months to February, Muniya Barua, Deputy Chief Executive at BusinessLDN, said:
“This data shows above target inflation was already weighing on firms before the war in Iran. For many, this is now beginning to bite as they face significant increases to energy costs and see their global supply chains disrupted.
“With the economy facing severe geopolitical headwinds, the Government needs to redouble its efforts to get the economy moving now.
“That’s why we’re calling on the Government to work with the Mayor to tackle London’s housing crisis, including by bolstering demand through targeted, short-term support such as a modernised Help-to-Buy scheme. Establishing a new Office for Tax Competitiveness would ensure we don’t hurt our economy by being out of kilter with international rivals. And removing international students from net migration figures would help to avoid it becoming an annual flashpoint given most voters recognise the value they bring to local communities and our economy.”