With inflation rising sharply, people across the UK are already experiencing a serious cost of living crisis. With the annual inflation rate climbing to 3.5% as of April, it has been hard on everyone, from workers to employers. This article explores the stories of Tracy McGuigan-Haigh, Ieuan Hood, and Peter Murphy. It reveals how they’re fighting to keep their heads above water as inflation continues to climb.
Tracy McGuigan-Haigh, a 30-year-old call center worker from Huddersfield, takes home around £1,200 a month. Though she and her husband work full-time, she needs the extra £400 Universal Credit adds to her monthly budget just to get by. “Higher benefits have been wiped out by costs,” she stated, reflecting the challenges faced by many who depend on government assistance to make ends meet.
Ieuan Hood is a 46-year-old single father of three. He scrupulously budgets his money on an income of about £1,600 a month. Universal Credit pushes this man’s earnings up to £2,500 a year. On top of that, he gets an additional £240 from child benefit, making him even better off. His number one priority each month is his £1,700 childcare bill, which takes a huge bite out of his disposable income. So much so that it seems like it’s not even occurring,” Hood, of the study Chief Catalyst, said about the increasing costs that envelope his budgetary plans.
Meanwhile, Peter Murphy, an 80-year-old pensioner, exists on a total income of less than £25,000 per year from his two pensions. Though he has a good and stable income, he has trouble keeping up with his increasing expenses. Even with a generous pension, his costs have quickly outstripped his ability to pay. “There’s a limit to what I can pay for,” said Murphy, showing the stark reality for countless retirees dealing with inflation.
The rising cost of living is an all-too-familiar refrain from these folks. McGuigan-Haigh’s monetary situation is indicative of the distress of other young professionals attempting to juggle employment and assistance from the state. Hood’s experience underscores the burden single parents must bear while trying to balance their finances as the cost of living continues to increase. Murphy’s story exemplifies some of the difficulties that older adults encounter. Their already-threadbare fixed incomes can no longer stretch to accommodate the highest rate of inflation in decades.
