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Inflation rises above expectations

Inflation rises above expectations
The Treasury has expressed disappointment following the news that inflation has risen above expectations in the month of October.

The Consumer Price Index (CPI) rose to 2.7% for October, up from 2.2% in September.

The Office for National Statistics said the drivers behind the rise in the price index were mainly tuition fees and food prices.

An ONS spokesperson told BBC News it was possible rises in utility bills could increase inflation in future months.

A Treasury spokesperson said: "It is disappointing that inflation increased in October. Inflation remains much lower than its peak of 5.2% last September.

"The Government has taken action to help people with the cost of living, including freezing fuel duty and council tax and taking two million people out of income tax altogether."

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Press Release

HMT statement on inflation

13/11/2012

On air

David Gauke: Inflation rise is disappointing

13/11/2012 on BBC News