Transport costs were the single largest contributor to the upturn in inflation
UK inflation has climbed to its highest level in nearly a year, driven by soaring petrol and diesel costs pushing up the overall cost of living, according to new data.
The Consumer Prices Index (CPI) inflation rate reached 3.5% in September, rising from 3.1% in August, the Office for National Statistics (ONS) revealed. This marks the highest CPI figure since the 3.6% recorded in October last year, surpassing the 3.4% that the majority of economists had anticipated for the month.
Transport costs were the single largest contributor to the upturn in inflation last month, with motor fuels proving particularly significant. Average petrol and diesel prices hit their highest point in four years during September, the ONS confirmed.
ONS chief economist Grant Fitzner said: “Inflation climbed notably in September to its highest annual rate in almost a year. Increased fuel prices were again the main driver, with the cost of diesel the highest since July 2022.
“Other upward pressures included airfares and, to a lesser extent, computer games and live events, which are often volatile. These were partially offset by the cost of hotel stays, where prices rose by less than this time last year.
“The annual cost of both raw materials and goods leaving factories continued to rise, driven by higher crude oil and petrol prices, respectively.”
