18 May 2026
A newly published House of Commons Library briefing has highlighted how households across the UK are continuing to feel the lasting effects of the cost-of-living crisis, despite inflation easing from the highs seen in 2022.
While inflation peaked at 11.1% in October 2022 and later fell back to the Bank of England’s 2% target in 2024, prices remain significantly higher than they were just a few years ago. The report notes that consumer prices have risen by more than 27% since May 2021.
According to Office for National Statistics (ONS) data included in the briefing, 79% of adults in Great Britain said their cost of living had increased in April 2026 compared with the previous month. Food shopping and fuel prices were identified as the biggest drivers of rising costs.
The report also highlights the continuing pressure on lower-income households, who spend a greater share of their income on essentials such as food and energy. Many households are still cutting back on spending, using savings, reducing energy use at home, or shopping around more in an effort to manage rising costs.
Although there are signs that some pressures have started to ease — including lower levels of food insecurity and reduced demand for emergency food parcels — the briefing suggests financial resilience remains fragile for many households. In April 2026, 23% of adults said they would not be able to afford an unexpected but necessary expense of £850.
Mortgage holders also continue to face challenges, with the Bank of England estimating that 3.9 million households are still expected to see higher repayments when they remortgage.
While this briefing provides a national overview rather than a rural-specific analysis, many of the issues highlighted – including rising fuel costs, energy bills and financial resilience – will be felt more acutely by rural households and communities.
