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UK Grapples With High Inflation Rate

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BRITAIN-LONDON-BLACK FRIDAY by .
A woman looks at handbags in Debenhams on Oxford Street on Black Friday in London, Britain (Xinhua/Tim Ireland)

Official figures showed that UK’s inflation rate rose last month to its highest since September 2013….reports Asian Lite News

BRITAIN-LONDON-BLACK FRIDAY by .
A woman looks at handbags in Debenhams on Oxford Street on Black Friday in London, Britain (Xinhua/Tim Ireland)

Inflation now stands at 2.7 per cent — up from 2.3 per cent in March — and above the Bank of England’s 2 per cent target, the BBC reported.

Higher air fares were the main reason, which went up by 18.6 per cent from the month before because of the later date of Easter this year compared with 2016.

The price of clothes jumped to the highest level for six years, with a rise of 1.1 per cent between March and April.

The Retail Prices Index (RPI), a separate measure of inflation which includes council tax and mortgage interest payments, reached 3.5 per cent last month, up from 3.1 per cent in March.

Last week, the Bank of England warned that the Consumer Prices Index (CPI) would peak at 3 per cent this year because of the fall in the pound after the Brexit vote.