The increase of the inflation rate is due to a price rise in housing costs and air fares. As rents increased, the over all consumer price index rose "followed by alcohol and tobacco, food, restaurants, and leisure". Cost-push inflation is currently going on in the UK as wages are not rising as quickly as prices for goods and services. UK has frozen both council tax and fuel tax and reduced income tax. Bank of England but its groth forecast to zero. The Bank is cutting intrest rates to get consumers buying again. Lowering tax and intrest rates will help consumers have more money in their pockets and, therefore, more to spend