Am I surprised by the hike? Of course not.
Although to be honest GW raising it's prices means nothing to me because I don't really buy anything from them any more, other than paints.
When there was all this business last year with price rises, fine cast and the embargo, I was firm on the "burn GW" train, since then, I've spent a total of around £25 (excluding paints, as I said) on GW minis, when I brought some army of the dead from firestorm and the IoB griffon from ebay. Even with paints, I doubt I've even spent £80 in total with GW in the last 12 months, which is less than I've spent in a year in the 10 years I've been in the hobby.
In that time I've started a mantic undead army for K.o.W which must be coming up to 500 models now and I've been buying more and more 3rd party stuff to paint.
Don't get me wrong, I love GW models, always will, but for what they are, they are too expensive for me when there are cheaper alternatives out there.
Will this price rise kill of GW, of course not. But maybe 2-3% of players drop GW totally in favour of something else. And next year, when there's another price hike, perhaps another 4-5% jump ship. With the ever increasing number of quality 3rd party companies emerging, one day, GW will be threatened. But it's not today, not this price hike.