Covid inflation hitting the price of goods and services – report

By Alan Jones, PA Industrial Correspondent

The cost of having a haircut, going to the gym or buying second hand cars and other goods has outpaced inflation following the end of the Covid lockdown, UK research suggests.

Fuel, furniture and air travel also cost more, hitting consumers as they emerge from pandemic-related restrictions, said a report by Credit Karma.

The personal finance technology company said the cost of air travel has risen seven times the rate of inflation since the start of the pandemic, haircuts by four times and fuel three times.

Many people are being put off spending on goods and services because of the price hikes, said the report.

Ziad El Baba, from Credit Karma, said: “It seems that inflated prices are starting to impact consumer decisions, leading the public to take a more measured approach to discretionary spending.”