London, Wednesday, 19 October 2022
The UK's annual inflation rate increased to 10.1% in September 2022 from 9.9% in August, beating market predictions of 10% and returning to the 40-year high reached in July.
Food, specifically oils and fats and dairy products, made up the largest portion of the rise (14.8% vs 13.4% in August). In addition, consumer costs for housing and utilities increased significantly (20.2% vs. 20%), as the cost of electricity, gas, and home fuels increased considerably.
The average price of gasoline and diesel were 175.2 and 186.6 pence per litre, respectively, compared to 134.6 and 137 pence a year earlier, which further reduced inflation for transportation (10.6% vs 12%).
In contrast to predictions of 6.4%, the annual core rate—which excludes energy, food, alcohol, and tobacco—rose to a record-high of 6.5%. Consumer prices increased by 0.5% on a monthly basis in September, which is the same as August.
(Source: Office for National Statistics // Report by: The Decision Maker – Finance editors)