UK Inflation Rate Inches Up During April

The annual rate of UK inflation inched-up during April as rising oil prices led to an increase in the cost of petrol and domestic heating.

The latest figures from the Office of National Statistics show that the consumer prices index (CPI) rose to 1.2% last month, up from 1.1 in March. However, it remained well below the Bank of England’s 2% target.

The UK’s previously targeted underlying Retail Prices Index rate of inflation, which excludes mortgage repayments fell from 2.1% to 2%. This was because, unlike the CPI, it includes council tax, where increases in April were a lot less than last year.

Other factors that helped to push UK inflation higher were the increased price of furniture, furnishings and carpets due to fewer special offer from retailers, as well as higher prices of package holidays and subscriptions to digital television.

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