Should we be worried about inflation?

Is rising inflation really something we should be concerned about or are such concerns overblown and a distraction from more important economic considerations? Ben Chu investigates

Inflation might be ‘Rishi’s nightmare’ but should it be ours? (Reuters)

UK inflation is currently rather low, with consumer prices up just 0.7 per cent year on year in January.

Indeed, inflation so low that the governor of the Bank of England has been writing formal letters to the chancellor to explain why it’s more than 1 percentage point below the Bank’s official 2 per cent target.

Yet, despite this, some are beginning to fret that a damaging inflationary surge is on the horizon.