UK Inflation Surges to Five-Month High Amid Escalating Middle East Tensions

UK inflation rose to 3.1% year on year in August, its sharpest increase in five months, according to the country's Office for National Statistics (ONS).

The main driver of consumer price growth was higher transport costs, particularly a renewed increase in fuel prices amid fresh escalation in the Middle East.

Prices for petrol rose by £0.09 to an average of £1.61 per litre, while diesel increased by £0.14 to £1.81. Airfares also rose by 6.2%.

Annual core inflation remained at 2.6%, but services inflation rose to 3.2% in August.