Fuel Prices Send UK Inflation Soaring to 3.1%
UK inflation rose to 3.1% in August, exceeding economists' predictions and highlighting the impact of surging fuel prices on household costs.
The increase was largely driven by a 9.1 pence per liter rise in petrol prices, which averaged 161.3 pence per liter for the month, according to the Office for National Statistics (ONS).
Motor fuels contributed significantly to the rise in inflation, with airfares also increasing by 6.2% due to higher costs of long-haul flights.
The ONS chief economist, Grant Fitzner, noted that 'sharp price rises for petrol and diesel pushed inflation up again in August.'
Chancellor John Healey responded to the increase, stating that 'the war in the Middle East is impacting on inflation worldwide, not just here at home'.
The UK Government has taken steps to alleviate pressure on households and businesses, including cutting tax on electricity bills and capping bus fares at £2.