The SNP has warned the UK economy is at a critical point following fresh concerns from the Bank of England, as the party calls for urgent action to support households and businesses.

The intervention comes after the Bank’s latest Monetary Policy Report highlighted rising inflation, weak growth and increasing pressure on living standards across the UK.

Forecasts suggest inflation could reach 6.2 percent, with food prices expected to rise by around 7 percent, adding to the strain already being felt by families.

At the same time, interest rates could rise further, potentially reaching 5.25 percent, increasing mortgage costs and borrowing pressures for millions.

The Bank also warned that living standards are already falling and that sectors such as food and hospitality could face further challenges, including the risk of job losses.

Energy costs are also expected to rise again later this year, with lower income households identified as particularly vulnerable to further increases.

The SNP has used the warnings to criticise the UK Government’s response, arguing that more direct support is needed to address the situation.

Stephen Flynn said the scale of the challenge requires immediate intervention.

“Broken Brexit Britain is at crisis point and it’s a disgrace that Keir Starmer is asleep at the wheel as the UK rapidly heads to a cliff edge.

“The SNP has been warning the Labour Party government for months that families, farmers and businesses need urgent help as the cost of living soars on Keir Starmer’s watch.

“The UK is facing an economic catastrophe but the Labour government has done nothing, has no idea how to fix the mess and is completely unprepared for the devastation that is coming.

“While the UK faces yet another cost of living emergency, Sleepy Starmer is sitting on his hands while Scottish families and businesses are battered by sky-high costs.

“The latest warnings from the Bank of England are devastating and could cripple hard-pressed families with rising mortgage rates, food prices and fuel prices that are completely unaffordable, unless the UK government wakes up and takes action now.

“While John Swinney’s SNP government is laser-focused on delivering the strongest cost of living support for families anywhere in the UK, the Labour government has no plan at all.

“It is essential that the UK government follows the example of independent countries like Ireland and delivers an emergency package of financial support.

“That must include removing VAT from fuel for the duration of the crisis, scrapping its planned hike to fuel duty, and introducing a Household Energy Price Cap to lower bills by hundreds of pounds.

“Scotland is an energy-rich country and the fact that we are facing yet another costs crisis of Westminster’s making underlines why we urgently need the fresh start of independence more than ever.

“Voting SNP on 7th May is essential so we can prioritise the cost of living, secure that fresh start of independence and use Scotland’s huge energy wealth to lower bills, instead of living under the constant chaos of Westminster control.”

The comments reflect a broader political debate around how best to respond to rising costs, with different parties setting out competing approaches ahead of the election.

For households across Scotland, the immediate concern remains the impact on everyday expenses, from food and fuel to housing and energy bills.

The Bank of England’s latest warnings have intensified the focus on economic pressures, with calls growing for stronger measures to support families and businesses facing rising costs.