Why does your Tesco run feel more painful this month? While Britain fixates on celebrity scandals and financial corruption, the real story hitting every household is hiding in plain sight: prices rose faster in 2025 than anyone expected.

The Consumer Prices Index jumped to 201,118 this year, up from 195,247 in 2024. That might sound abstract, but here's what it means in your kitchen: if your weekly shop cost £100 in 2024, you're now paying £103 for exactly the same items (Source: Office for National Statistics, CPIH (Consumer Prices Index including Housing)).

This acceleration caught economists off guard. After inflation seemed tamed in 2024 with the smallest rise since 2021, prices have resumed their relentless climb. The index has now doubled since 2010, when it sat at just 100,000.

For renters, the squeeze is particularly brutal. The CPIH includes housing costs, which means your rent rises are baked into this number alongside your grocery bills. A London renter paying £1,800 monthly in 2024 faces an equivalent cost of £1,854 today. That's £648 more per year for the same four walls.

The trajectory tells a story of economic whiplash. From 2021 to 2023, prices surged by 28,395 points as energy costs and supply chains collided. Then came 2024's brief respite, with just a 4,278-point increase. But 2025 shattered that calm with a 5,871-point jump, the steepest rise since the cost-of-living crisis peaked.

Families on Universal Credit feel this most acutely. While benefits typically adjust annually, price rises happen weekly. Someone receiving £627 monthly Universal Credit in April 2024 has seen their purchasing power erode by roughly £19 before any benefit adjustment arrives.

The mortgage market adds another twist. Homeowners locked into new deals this year face double pressure: higher monthly payments plus costlier everything else. A typical two-year fix jumped from 4.5% to 5.2%, while their weekly shop simultaneously became 3% more expensive.

What's driving this renewed surge? Energy bills stabilised, but food inflation refuses to retreat. Council tax rises averaging 5% across England pile on additional pressure. Meanwhile, service costs from haircuts to gym memberships continue climbing as wage pressures filter through.

This isn't just about numbers. It's about choices. The family that could afford both Tesco Finest and a weekend meal out in 2023 now picks one. The student who managed rent, food and a social life now skips the pub. These index points represent thousands of small compromises happening across Britain.

While Westminster debates and scandals dominate headlines, this quiet crisis touches every household. Your pound bought more last year than it does today. And unless something changes dramatically, it'll buy even less next year.