Fuel Prices Push UK Inflation to 3.1%
UK inflation rose to 3.1% in August, according to official figures from the Office for National Statistics (ONS). The increase was driven by a jump in petrol prices, which rose by 9.1 pence per litre between July and August, to an average of 161.3 pence per litre.
The price of diesel also increased, rising by 14.2 pence per litre to an average of 181.8 pence per litre for the month. The surge in fuel costs is linked to the breakdown of the US-Iran ceasefire in July, which led to higher oil and gas prices.
Economists are predicting that inflation will continue to rise over the coming months due to ongoing pressure from the conflict in the Middle East. Grant Fitzner, ONS chief economist, noted that 'sharp price rises for petrol and diesel pushed inflation up again in August.'