Inflation

Ruth Lea, economic advisor to the Arbuthnot Banking Group and senior fellow of the Adam Smith Institute, says 2011 holds some room for optimism but overall the near future isn't bright.

The UK's GDP growth will be slow in the first half of 2011 but will start to pick up in the latter part of the year, according to economics research firm IHS Global Insight.

Sterling touched a three-month low against the dollar before rebounding as the Monetary Policy Committee (MPC) revealed continued division on interest rates while UK growth was revised down.

Consumer price inflation remains well above the government's target after reaching 3.3% in November.

NEST's reliance on gilts to provide steady growth in its default fund will leave many of the most vulnerable savers with the lowest income exposed to inflation, No Monkey Business (NMB) warns.

Annual consumer prices inflation (CPI) rose in October to a four-month high of 3.2%, up from 3.1% in September and higher than economists' forecasts.

Eurozone ministers are poised to meet in Brussels as the debt crisis once again threatens the economic stability of the 16-member bloc.

Age UK is calling for more tailored products and services for the elderly, as they are much harder hit by the cost of inflation than the rest of the population.

The G20 summit Leaders converging on South Korea for the upcoming G20 summit are set to clash over a deal to safeguard the global economic recovery.

The Bank of England warns inflation is likely to stay above the 2% target throughout 2011, given the upcoming rise in VAT and continuing increases in import prices.