Inflation increased in August with CPI rising to 3% (2.9%) and RPI steady at 3.9%. CPI’s increase takes it back to a level last seen over 5 years ago. In contrast to these measures, ONS’s now preferred measure of CPIH continues to lag behind at 2.8%, as predicted it would do – see here.
The ONS analysis of the changes said:
- The main contributors to the increase in the rate were rising prices for food and recreational goods, along with transport costs, which fell by less than they did a year ago.
- These upward effects were partially offset by downward contributions from a range of goods and services, in particular clothing prices, which rose by less than they did a year ago.
The full September ONS inflation report can be found here.