Stagnant economy intensifies speculation over identity of royal dress designer

As New Zealand’s economic conditions worsen the interest in the identity of Kate Middleton’s dress designer has intensified. With high inflation, high unemployment and the impact of the Christchurch Earthquake still yet to show in the official statistics, insiders have named Sophie Cranston, founder of the Libelula label as the winner of the most coveted job in fashion.

The New Zealand dollar fell against the Australian and US currencies after recent figures showed higher than predicted levels of inflation, which is good news for exporters but bad news for Sarah Burton, lead designer at super-hot fashion house Alexander McQueen, who was widely tipped to be the one to make Kate look even more gorgeous as she walks down the aisle.

Economists have warned consumers to expect further price rises on the back of surging fuel prices caused by growing energy demands in China and Kate has kept the identity of the designer secret even from William because she wants to surprise him on their big day.

Prime Minister John Key has admitted there is little the government can do to offset the effects of soaring price rises and will wear a bespoke suit tailored from fine New Zealand merino and washed with greenstone to the wedding.

Food banks are reporting record demands for emergency food parcels, and homeless shelters are turning people away, while some experts dismiss the suggestion of a Cranston design, since her signature silhouette dresses are unlikely to work in the high church environment of Westminster Abbey.

Financial advisers urgently warn New Zealanders – especially those impacted by the earthquake – that whoever the designer, the dress will have a huge impact on fashion trends worldwide.

With predictions of an icy winter accompanied by further increases in power prices and fuel, Kate and Wills have announced they will cement their love with a post-ceremony public kiss on the balcony of Buckingham Palace.