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Housing costs played a large role in the new figures being much higher than the official inflation rate (PA) (PA Wire)Average household costs are rising by 8.2%, much faster than the ONS and Bank of England’s headline measures of inflation, according to new ONS figures that the Government stats bureau said more closely “reflect the lived experience” of the cost-of-living crisis.“Household Costs Index” figures were published today, to offer “an insight into inflation as experienced by different types of households”.Whereas the CPI measure of inflation, the most commonly cited measure of inflation and the one used by the Bank of England, was 6.7%, the new figures suggest that costs are rising by 8.2%. The new figure is also higher than the CPIH rate of price rises, which the ONS regards as its headline measure for inflation. That figure came to 6.4% in September.One of the major differences between the new HCI figures and the more commonly cited measures is in housing costs, due to differences in how changing mortgage rates and rent prices affect the figures. The ONS said housing was responsible for 1.2 percentage points of difference when compared to CPI.Joshua Gerstler, planner at financial advisor The Orchard Practice, said: “The immediate impact of the cost of living crisis and higher mortgage rates is clear to see in this data. What is not so clear, is the impact this is …
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