Group warns of spiralling inflation

Inflation is set to spiral over the next six to 12 months, according to the Consumer's Association of Ireland.

The group said the average family will be paying at least £320 extra per year, or £420 if they are living in Dublin, for basic goods and services.

A notable example is cable television, with the country's largest operator NTL preparing to hike up its prices by 34% across the board.

Consumer's Association chief Executive, David Jewel, is calling on the Government to intervene now before inflation runs out of control.