Price rises could increase far beyond their current rate of 4.4 percent, according to new analysis from the Chelsea.
The average Briton could face retail price rises of up to seven percent in months to come, the Chelsea building society has claimed.
In a new report compiled by the lender, the outlay on goods and services for the typical family were found to have risen to £33,392 by last month - an increase of £2,547 over 12 months before. This trend, factored together with recent price hikes from energy firms and a potential nine percent rise in rental costs - and assuming that inflation levels for other goods would maintain their current rates in the future - led to the seven percent figure being derived.
By way of comparison, the government's own Retail Price Index for July stood at five per cent, while the Consumer Price Index - an alternative inflation benchmark - stood at 4.4 percent.
Darren Stevens, director of customer services at the Chelsea, commented: "The [price rises] will create a real strain for the average man and woman on the street. Recent fuel hikes, food increases and rental demands are forcing people to find further ways to afford life's essentials.
"In tough times, it becomes even more important for people to manage their money effectively and adapt their savings habits. Reigning in unnecessary spending, considering each purchase carefully and adapting the amount you save each month can help save money to cover rising costs and still keep money aside for long-term plans."
