Prices rose by more than 4pc in the first two weeks of March alone, putting the pariah state on track for an annual inflation rate of 30pc by early 2023, according to the CEBR’s calculations for the Ukrainian government.

Meanwhile, even if pay increases by 10pc a year, real earnings will drop by an estimated 18pc over the next 12 months and by more than a quarter by the end of 2024.

Russia is a major exporter of food and energy so basic goods are likely to remain available, but imports and luxuries are set to disappear from the shelves.

Douglas McWilliams at the CEBR said the scale of the crunch in living standards is on the same scale as that suffered by Iranians when the country was subject to western sanctions, leading to inflation ranging between 9pc in 2016 and almost 40pc last year.

He said there was “some scope” for the Kremlin to use its resources to limit the rise in prices, but any such move could only be partial and temporary.

“With a budget surplus from high oil revenues there is scope for subsidies to be increased, though at the expense of increasing market distortions,” Mr McWilliams said.

“Wages could be increased more, though to prevent Russia becoming uncompetitive these would probably have to be matched by a fall in the value of the rouble. This fall would itself be inflationary.

“The scale of the budget surplus, however, means that the scope for alleviating more than half the squeeze on living standards is limited and even this could probably only be maintained for about a year. So the squeeze on Russian living standards is likely to be severe and will be hard to offset.”