Extremely high prices for the fact they aren't even made of pewter anymore.
The prices have -nothing- to do with supply and demand. Many more popular miniatures games have maintained steady pricing. Especially with the UK's current economy, there is no reason for inflation.
Also do you even know how supply and demand works? Last time I checked the market has been flooded by their products worldwide. There is no demand issue, there is no supply issue. There is no inflation.
The truth is that their stock has been falling and they are compensating for failing sub-games, ie. BFG, Epic, LOTR, etc.
Anyone with a brain would have checked their -investor relations- page to figure this out themselves, where they spell it out themselves.
Warhammer Fantasy - Orcs, Goblins, Knights, etc
Warhamer 40,000 (40k) - Aliens, humans, guns, etc
Lord of the Rings - Based on the books by JRR Tolkien.
The player builds an army of whatever he wants, glues them together, and paints them, then plays games with them.
The game itself is very simple to understand, but also very complex. Games can last hours and are very fun to play.
Painting an army can take a long time or a short time, depending how much effort you put into it. Although some people finding painting a burden, to me painting is half the fun of the hobby.
Warhammer is somewhat overpriced. However it is not just the plastic/metal soldier you pay for, but also the hours of enjoyment you get from it by painting and playing with it. This makes it worthwhile.