UK Inflation Nudges Above 3% on Fuel Price Hikes

UK inflation has ticked up to 3.1% in the latest data, driven by a 7% month-on-month rise in fuel costs. The increase is largely due to higher energy prices, which are expected to continue rising through September. According to the Bank of England's 'core services' metric, the headline services index is being outpaced.

The inflation rate has edged above 3%, and forecasters suggest it could reach as high as 3.6-3.7% over the winter months due to ongoing fuel price increases. However, for now, there's no indication that interest rates need to be hiked in response.