The UK’s consumer price index (CPI) reached its highest level in 10 years with 5.1% in November.
UK inflation hits its highest level in more than ten years in November as rising costs in clothing, fuel, and used cars. According to the UK Statistics Office data, consumer prices increased by 5.1% compared to the previous year, reaching the highest level since September 2011. The expectations were around 4.8 percent.
The higher-than-expected data may increase the pressure on the Bank of England to raise interest rates to curb inflation. The Central Bank was expected to increase interest rates at the meeting to tomorrow, but this expectation was postponed due to the uncertainty created by the Omicron virus.
Core CPI also increased by 0.5% monthly and 4% annually. The annual increase was recorded as the highest increase since 1997 when data began to be retained.