UK Inflation Rises More Than Expected

(RTTNews) - UK consumer price inflation rose more than expected to a 10-month high in January, data from the Office for National Statistics showed on Thursday.

The consumer price index logged a 3.0 percent rise in January, following December's 2.5 percent increase. This was the fastest growth since March 2024. Prices were forecast to climb 2.8 percent.

On a monthly basis, the CPI edged down 0.1 percent, in contrast to the 0.3 percent increase in December. Economists had forecast a monthly drop of 0.3 percent.

Excluding energy, food, alcohol and tobacco, core inflation rose to 3.7 percent, in line with expectations, from 3.2 percent in the previous month.

Consumer prices for goods grew at a faster pace of 1.0 percent after a 0.7 percent rise. Likewise, services inflation rose to 5.0 percent from 4.4 percent.

Another data from the ONS showed that output prices rebounded in January after falling for four straight months. Output prices gained 0.3 percent annually after a 0.1 percent drop.

At the same time, the annual fall in input prices slowed to 0.1 percent from 1.3 percent in December.

On a monthly basis, output prices grew 0.5 percent, offsetting December's 0.2 percent fall. Meanwhile, input prices advanced 0.8 percent, faster than the 0.2 percent rise a month ago.