BORIS Johnson last night insisted supermarket shortages and sky-high fuel costs are a “short-term problem” amid fears of a cost of living crisis.
The PM promised families they will not have to go without this December as he vowed: “Christmas is on.”
But gloomy experts warned inflation will run at three per cent next year — the highest rate of the major advanced economies.
Figures last week revealed inflation has hit 3.2 per cent — its highest level in nearly a decade. Speaking in New York yesterday, Mr Johnson said: “We will do whatever we can to address the supply issues, but this is a short-term problem.”
He said it was caused by the “world economy waking up after a long time in this suspended animation caused by Covid”.
But Business Secretary Kwasi Kwarteng had earlier admitted some struggling families may have to choose between eating and heating this winter.
While he said rocketing energy prices are due to a global surge in demand post Covid and will come down again.
“This is a short-term problem caused by the energy problems, the spikes in gas prices”, he said.
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“And like many of the other supply issues we are seeing, including food, are caused by the world economy waking up after a long time in this suspended animation caused by Covid.
“We will do whatever we can to address the supply issues but this is a short-term problem.”
He spoke out as Britain was hit by a perfect storm of rocketing fuel costs, a shortage of CO2 and border disruption which has sent prices soaring and supermarket stocks plummeting.