Independent Mortgages Direct NE

Inflation Increases Above 10%

After falling to 9.9% in August UK inflation rose again in September to 10.1%.

The Office for National Statistics (ONS) stated rising food prices contributed mostly to the upward change between August and September 2022 while a fall in petrol/diesel made the largest downward contribution.

The latest figures will likely impact the Bank of England’s (BoE) decision to further increase interest rates in November with the base rate already at its highest in nearly 14 years at 2.25%. BoE Governor Andrew Bailey has stated the bank will not hesitate to raise interest rates, if needed, to meet its 2% inflation target.