Price rises in the US accelerated by more than expected last month, pushing annual inflation up to 7.5% – the highest rate since 1982.
Food and energy costs helped to drive the increases, which left few spending categories untouched.
The rising prices are squeezing household finances as wages fail to keep pace.
Washington is under pressure to address the issue, with the US central bank expected to raise interest rates.
The Bank of England has already raised interest rates twice in the last three months in a bid to dampen down consumer spending.
On a monthly basis, consumer prices climbed 0.6% in January, the US Labor Department said.
Grocery prices saw one of the biggest monthly leaps ever, up 1%, driven by increases in the cost of bakery and cereal products.
Detra Thomas, a 60-year-old executive assistant who lives in New York, says she recently stopped shopping at the grocery store, opting to order in bulk online or visit street vendors in hopes of finding lower prices.
“I just can’t afford to buy all my food from the regular grocery store,” she told the BC.
She has been delaying clothing purchases, clipping coupons and taking other steps in an effort to make her money go farther. Though she received a small pay raise last year, it does not match the rapid increases in the cost of living.
“You have to worry about what am I going to buy, what am I not going to buy, can I do without this for a while,” she said.
“I would like the stability of knowing that the supplies are going to get through in a timely manner and that we’re not going to have to pay an arm and a leg for them.”
