The figures confirm that Britain is now facing the most savage inflation for a generation. Full details of the economic woe are confirmed as voters go to the polls today in the first opportunity to deliver a verdict on Gordon Brown’s premiership.

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The Prime Minister is braced for a backlash over the misery his soaring tax burden has added to sky-high food and fuel prices. Last night critics warned that Middle Britain will not stand for any more financial punishment.

Mark Wallace, of the TaxPayers’ Alliance, said: “The Daily Express’s index shows emphatically that change is needed.

“With rough economic conditions ahead, the Government seems oblivious to the rising tax burden. People cannot afford to pay more tax and yet fuel duty, vehicle tax, council tax and a host of other levies continue to rise.”

A senior Tory accused Mr Brown of being completely out of touch. Philip Hammond,  Shadow Chief Secretary to the Treasury, said: “Gordon Brown lives on a different planet to everyone else. He doesn’t know what the tax burden is – even though he’s responsible for pushing it up to today’s levels.

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“Hard-working families are struggling with soaring living costs, a slowing economy, falling house prices and rising taxes. It’s clear that on Planet Gordon taxes are lower than you think, poverty has been conquered and every problem is someone else’s fault.”

Pensioner groups said our survey underlined how the soaring cost of living was hitting older people. Paul Cann, of Help The Aged, said: “These figures mean yet more misery for poor pensioners already struggling to get by. Older people are often the hardest hit when the cost of living rises.”

“The Chancellor should ensure the automatic payment of benefits, so that the £4billion-plus of unclaimed pensioner benefits actually reaches the poorest. The state pension must also be raised.”

The Daily Express Cost of Living Index keeps track of all the bills families have to pay. It shows that price rises are way above the Government’s official inflation estimates.

The index demonstrates how fuel and household bills have soared. In the week the price of petrol crashed through the £5-a-gallon barrier, many readers will find themselves much worse off than just seven days ago.

For the cost of living has jumped by 0.41 per cent since the Daily Express launched its price guide last week. People now have to fork out 11.52 per cent more on basic needs than they did 12 months ago.

Yet the Government tells us that annual inflation, measured by the Consumer Price Index, is 2.5 per cent. The reality, however, is that prices of the most vital goods and services have been soaring way beyond this level.

The Daily Express, in association with price comparison website Moneysupermarket.com, will continue to fight for our readers’ interests.

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