UK Inflation Hits 3.1% as Petrol Prices Surge

UK inflation accelerated to 3.1% in August 2026, mainly due to a sharp increase in motor fuel prices.

The Consumer Prices Index (CPI) rose from 2.9% in July to 3.1% in August, according to the Office for National Statistics (ONS).

Transport costs, particularly petrol and diesel prices, drove the increase.

Average petrol prices climbed by 9.1 pence per litre between July and August, reaching a high of 161.3 pence per litre, its highest level since November 2022.

Diesel recorded an even sharper monthly increase, rising by 14.2 pence per litre in August, with an average price of 181.8 pence per litre.