What inflation? The whole thing about the BoE being able to drop interest rates so far so fast is because the risk of inflation at the moment is diminishing rapidly. Commodities are falling as is the price of food etc. Oil (despite OPEC trying to push up the price by reducing output) is still languishing around $60 a barrel. (Down 5% today alone) That said, I guess that if the ar$e falls out of our currency, then we could have a problem.
Anyway - as you said, putting cash aside IS a good idea. You never know what's around the corner. (Both on a personal level and national economic climate level) It's just a pity our govt didn't realise this sooner.....