We feel food inflation in the UK is dropping slightly and that the inflation targets for the Bank of England are reasonably achievable. With Unemployment predicted to lower inflation by the Bank of England, what will happen is a drain on public finances to pay for social security and that will have an effect on taxes in the Autumn Budget. If they keep taxing the wealthy, they will be driven abroad, and to tax businesses, we have seen them shedding staff already and closing businesses from the last tax hikes and passing on costs. Whatever tax hikes there are, the pain will be seen in the economy. We are not seeing many predictions, maybe a bit too soon for the Autumn Budget, it will be a make-or-break Britain Budget. If inflation drops, where do you see interest rates from the Bank of England? Lots of people are predicting inflation will rise because of possible tax hikes.

Non-food prices drive up inflation in September

Homework: What taxes would you see the Government tinkering with for the Autumn Budget? Think of the ramifications, i.e. tax the rich and they will leave. Raise VAT, England is already an expensive country to live in, do you think we get value for money, etc. Will it push up inflation?

Charts. 15, 30, 60 and 100-day moving averages (MA) convergence and divergence, resistance and support on MA as well as trend lines, patterns and gaps, breakaway exhaustion stochastics.

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