Economics – Business cost increases spreading

Date : 11 October 2021

ONS data for September 2021 shows that around 29% of UK businesses report that input costs (ie: buy-in prices) are rising faster than normal.of poor stock levels on shopping experiences:

This compares with only 17% at the start of 2021 and it is clear that unusual cost increases are steadily becoming more common. 


 At the same time, only 10% said that output prices (ie: sell-out prices) are increasing at an unusual rate. This correlates with other ONS research and it suggests that pressure on business margins is increasing. 

 

Also, around 9% of UK businesses imported goods in the last 12 month but, of these, 60% were experiencing unusual difficulty. 

 This is before the introduction of the next waves of border reform – this may be a timely reminder to businesses to use the last Quarter to ensure that they are ready for the next changes.

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