What we now know about the UK economy in four charts

High global oil prices have already hit drivers at the pumps, with petrol priced at almost £1.73 per litre on average, while diesel is near £1.99.

Elevated oil prices over time can lead to prices edging upwards across a host of goods, such as food, as companies pass on the higher expenses they face to consumers.

Goods are typically transported to destinations by lorries and vans, so high fuel prices can have far-reaching consequences.

The OBR now thinks inflation will stay higher for longer than previously forecast, peaking at 3.8% in 2027.

Despite the cost-of-living support announced by the government, economists at Pantheon Macroeconomics said the measures were "small beer given the surge in inflation we expect over the winter".