Inflation hits 9.4% in June, highest since 40 years

Inflation -- the rate at which prices rise -- hit 9.4% in June, the highest level for more than 40 years. The Bank of England has warned that it could peak at more than 13% in the next year.

Labour said it would close an absurd loophole by backdating the start date to January and accounting for higher oil and gas prices, which it said would raise 8 billion dollars.

The party said it would use the already pledged 14 billion of non-targeted funding to prevent bills from rising and not give that money back in handouts later on.

The independent Institute for Fiscal Studies IFS said the government would need to find 12 bn in order to achieve what it was aiming to do with the 24 bn package announced in May due to soaring energy prices.

The think tank said in May energy prices were expected to rise by 95% in 2022 23 but are now expected to rise by 141%.