Inflation hits 30-year high Office for National Statistics (ONS) data shows that inflation hit a 30-year high of 7% in the year to March. This marks the highest level of inflation since the 7.1% rate recorded in March 1992. Inflation for March was up from the 6.2% seen in February and also came in higher than the 6.7% expected by analysts. The increase does not take into account the average 54% increase in energy bills that came into effect two weeks ago, so April's figure is expected to be even higher. The Bank of England has predicted that inflation could peak at around 8% in April. A surge in fuel prices had the biggest impact on the inflation rate in March, with average petrol and diesel prices at record highs, while the cost of food, furniture, household equipment, clothes and shoes also saw increases of between 5% and 10%. Alpesh Paleja, lead economist at the Confederation of British Industry, said: “The latest rise in inflation will not be the last,” adding that this will mean “even higher costs for businesses, and a deep squeeze in the cost-of-living for households.” Reflecting on the ONS data, Chancellor Rishi Sunak said: “I know this is a worrying time for many families, which is why we are taking action to ease the burdens by providing support worth around £22bn in this financial year.”