Inflation in UK unchanged at 6.7% in September, still way more than Bank of England's target of 2%
Inflation in the U.K. held steady at 6.7% in September as easing food and drink price rises were offset by higher fuel costs for motorists
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Inflation in the U.K. held steady at 6.7% in September as easing food and drink price rises were offset by higher petrol and diesel prices for motorists, official figures showed Wednesday.
The flat reading reported by the Office for National Statistics was unexpected. Most economists had predicted another fall.
It means that the U.K.'s inflation rate remains more than three times higher than the Bank of England's target rate of 2%. The bank, though, is not expected to raise interest rates at its next policy meeting, opting instead to keep its main borrowing rate unchanged at the 15-year high of 5.25%.
The flat reading will raise concerns, certainly among homeowners, that rates will stay higher for longer.
Last month, the bank brought an end to nearly two years of interest rate rises as inflation fell from multi-decade highs above 11%.
Most economists expect a sizeable decline in inflation next month.
“Progress on falling inflation has stalled, for one month at least," said James Smith, research director at the Resolution Foundation think tank. “It should fall sharply next month to below 5%, as energy prices fall for most people.”
The U.K. has the highest inflation rate among the Group of Seven leading industrial economies — and by quite a margin. Some economists attribute that to Britain's departure from the European Union, which has created worker shortages in some sectors, raising costs to business, and led to frictions in trade.