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Re: Could this be the year of major problems
While prices are rising don't forget that as a percentage of earnings food dropped a heck of a lot in recent times. (I don't have figures but vaguely remember something like 50% to 10%.) Food prices plummeted for a while now they are on the way up. This is partly due to fuel prices but also there are effects such as weather, using "food" for fuel, population growth. We have got used to very cheap, almost below cost food. We also got used to lots of spare cash for extras. Now we still want the extras so really notice food prices.
I do acknowledge that there are some who are severely affected. Maybe benefits need to be better targeted and paid in food (vouchers) or the like so recipients can't waste it as easily.
Separately was thinking today that we need a "back to work" benefit so that when people sign off to start work they aren't left starving until pay day. Maybe some form of interest free loan that can be taken back from wages (before tax??) over some extended period of time.
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