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London
CNN Business
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Rising food and energy costs drove UK inflation back to a 40-year high in September, but it could be nearing a peak as cash-strapped households pull back on spending amid broader economic turmoil.
The annual rate of inflation rose to 10.1% in September, up from 9.9% in the 12 months to August, the Office for National Statistics said on Wednesday. That returns it to July’s recent high.
Soaring food prices were the largest single contributor to the acceleration in inflation, jumping 14.6% year-on-year, the ONS said.
The return to double-digit inflation will be worrying for the Bank of England, which meets on November 3 to set interest rates. Governor Andrew Bailey has said that a “stronger response” may be needed to get a handle on price rises.
The central bank will evaluate rising price pressures against the government’s recent…
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