Britain’s annual inflation rate rose higher than expected to 3.5 per cent in September, driven largely by increasing fuel prices, according to official figures released on Wednesday.
The Consumer Prices Index (CPI) increased from 3.1 per cent in August, the Office for National Statistics (ONS) reported. The latest figure was the highest in almost a year and exceeded analysts’ forecast of 3.4 per cent.
The increase comes just one week before the Labour government is expected to present its annual budget, with the cost of living remaining a major concern for households.
The ONS said transport costs, particularly petrol and diesel prices, made the largest contribution to the rise in inflation as the US-Iran war pushed fuel prices higher. Diesel prices at UK filling stations recently reached their highest level since July 2022, shortly after Russia launched its invasion of Ukraine.
ONS Chief Economist Grant Fitzner also noted that the annual cost of raw materials and goods leaving UK factories continued to rise in September, driven by higher crude oil and petrol prices.
Source: AFP
