RE: wrez28 May 2018 22:45
In the post-war period, the UK economy experienced strong growth with moderate inflation.
However, in the 1970s, we see inflation rising to double figures and reaching over 25%.
This inflation was due to rising oil prices (oil prices tripled in the 1970s). There was also inflation due to rising wages. Unions were relatively powerful and were bargaining for higher wages to keep up with the rising cost of living – causing a wage-inflationary spiral.