With inflation at about 1.5 percent, that is not a bad real rate of return.

And with inflation low, many of these companies have lost their power to increase prices.

The increase of 2.6 percent is probably less than the amount needed to keep up with inflation, Administration officials said.

If you tell them 250,000 a month, they walk away saying there is going to be trouble with inflation.

From then on, the program would continue to increase in line with future inflation.

But pay for most workers is still not keeping up with inflation.

Education, health, social services and job training programs would all be given enough money to keep up with inflation.

But at present, he sees the economy in a period of growth with inflation.

The rise, the first for a year by United, is 4pc in line with inflation.

That $1.09 price works out to $7.73 today with inflation.