UK Inflation Surges to 3.1%, Above BOE Target

UK inflation has risen to 3.1% in August, exceeding expectations and pushing further above the Bank of England's 2% target.

The Office for National Statistics reported that consumer prices increased by 0.5% during August, compared with a 0.3% monthly increase in August last year.

Transport provided the largest upward contribution to the increase, driven particularly by motor fuels, which rose by 4.6% over the year to August.

Petrol prices increased by 9.1p per litre between July and August to an average of 161.3p per litre, their highest level since November 2022.