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MNI BRIEF: UK CPI Surges To 10-Year High​

(MNI) LONDON
(MNI) London

UK CPI surged to 5.1% in November, exceeding the Bank of England’s predictions an analyst forecasts of a rise to 4.8%. Eight of the 12 major categories contributed positive to the change in CPI, pushing core CPI to 4.0% from 3.4% in October, the highest since the series began in 1997. However, core CPI based on a construction series topped 4.0% in July 1992.

CPI inflation is above 5% for the first time since October2011 (5.0%) and is closing in faster than expected on the level the BOE sees as the peak for prices.

Clothing and footwear added 0.26 percentage points to the 0.9pp rise in total CPI, with the sector beset with discounting in 2020. Motor fuels added another 0.18 percentage points, after petrol prices touched a record high of 145.8p per litre in November.

RPI surged to 7.1% in November from 6.0% in October, the highest rate since March 1991.

MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
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MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
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