Skip to main content
Donate to the 95 years appeal
The cost-of-living crisis is compelling the strike waves
A grim economic backdrop is likely to mean further widespread industrial unrest for months or even years to come, warns DIANE ABBOTT MP

THE forecasts unveiled by the Bank of England when they raised interest rates last Thursday were a stark reminder of why there is currently a strike wave taking place in this country. The forecasts themselves were truly chilling.

The Bank’s forecasters reckon that inflation is far from the peak and could run over 13 per cent. That is now close to becoming the consensus after one of the leading think tanks had previously forecast price rises peaking at 15 per cent. The Bank also believes inflation will be above the current level of 9 per cent this time next year.

At the same time, it now predicts a prolonged recession. On this analysis the slump is set to last more than three years and unemployment will rise to well over 6 per cent before the end of 2025. 

The 95th Anniversary Appeal
Support the Morning Star
You have reached the free limit.
Subscribe to continue reading.
More from this author
Traji Adwan (centre) mourns during the funeral of her 11-year-old grandchild Qais, who was killed in an Israeli airstrike on a school in Gaza that has been used as a shelter, at Al Shifa Hospital in Gaza City, July 25, 2025
Features / 26 July 2025
26 July 2025

Our Foreign Secretary now condemns Israel in the Commons, yet Britain still supplies weapons and intelligence for its bombing campaigns — as the horror reaches perhaps the final stage, action must finally replace words, writes DIANE ABBOTT MP

cuts and war
Features / 12 July 2025
12 July 2025

The BBC and OBR claim that failing to cut disability benefits could ‘destabilise the economy’ while ignoring the spendthrift approach to tens of billions on military spending that really spirals out of control, argues DIANE ABBOTT MP

President Donald Trump gestures during a press conference after the plenary session at the NATO summit in The Hague, Netherlands, June 25, 2025
Features / 28 June 2025
28 June 2025

Europe is acquiescing in Trump’s manoeuvrings — where Europe takes over the US forever war in Ukraine while Washington gets ready for a future fight with China. And it’s working people who will be left paying the price, says DIANE ABBOTT MP

Prime Minister Sir Keir Starmer speaking during a press conference on the Immigration White Paper, May 12, 2025
Politics / 31 May 2025
31 May 2025

DIANE ABBOTT MP argues that Labour’s proposals contained in the recent white paper won’t actually bring down immigration numbers or win support from Reform voters — but they will succeed in making politics more nasty and poisonous 
 

Similar stories
MILLSTONE: Parts of the Labour Party see Nigel Farage’s Re
Features / 8 February 2025
8 February 2025
You only have to look at the dire polling of Labour’s sister parties in Europe to see that aping the hard right on migration leads to spectacularly bad results, argues DIANE ABBOTT MP
FAIR PAY: Health workers march to Downing Street, London
Features / 13 December 2024
13 December 2024
For its own good the Labour government should take a radical, progressive approach to investing in public services instead of tinkering around the edges, argues DIANE ABBOTT
(L to R) Rachel Reeves with the ministerial red box; Songi c
Features / 2 November 2024
2 November 2024
Comparing Budget measures to fictional Tory plans rather than actual spending levels conceals continued austerity, argues DIANE ABBOTT MP, as workers face stealth tax increases to bear the cost of economic stagnation