Our website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
Home Business Consumers brace for higher prices as businesses pass on cost hikes

Consumers brace for higher prices as businesses pass on cost hikes

by Uma
2 1


  • In early April 2022, over a quarter (29%) of trading businesses said their production and/or suppliers had been affected by recent increases in energy prices.
  • Accommodation and food service providers were most affected.
  • More than a third (36%) said they were having to absorb costs as a result of general price increases; 29% were passing the price increases on to customers.
  • Almost 28% of businesses said they had not been affected by price increases yet.
  • Approximately 15% reported that they had to change suppliers or find alternative solutions to get the materials, goods or services they needed from within the UK in March 2022.
  • Inflation remains the key concern for businesses.

ONS has released the latest Business Insights and Impact on the UK economy data: Business insights and impact on the UK economy – Office for National Statistics (ons.gov.uk)

Helen Morrissey, senior pensions and retirement analyst at Hargreaves Lansdown:

“Consumers need to brace themselves for rising prices as businesses increasingly say they are having to pass on cost increases to customers. A toxic mix of rising inflation, soaring energy costs and supply chain issues are placing businesses under increased pressure.

Over a quarter of businesses report they have been affected by energy price rises while 15% said they had to change suppliers or find alternative solutions to get the goods and services they need to stay in business. It’s a situation that is likely to only get worse as inflation continues to soar and we brace for further energy price rises in the Autumn.

After a bruising lockdown this is the last thing these businesses need at a time when they want to tempt consumers to get spending. Accommodation and food service providers were most affected by increases in energy prices – these were businesses particularly badly affected by the pandemic and having to hike their prices at a time when people are already starting to make budget cuts will be the last thing they need.”