UK Inflation Reaches Nearly One-Year High as Rate Hike Bets Firm

UK inflation accelerated to 3.5% in the year through September, reinforcing expectations that the Bank of England will raise rates at its Nov. 5 meeting. Consumer prices rose from 3.1% in August, reaching their highest level since October 2025. The increase exceeded economists’ 3.4% expectation and left inflation above the Bank of England’s 2% target. Transport prices were the biggest contributor to higher inflation in September, particularly motor fuel. Motor fuel prices were 30% higher than a year earlier, compared with a 23% annual increase in August.

Source: TokenPost