But housing and education main drivers, BRC claims
Annual inflation was 2.8 per cent in February, up from 2.7 per cent the month before, according to the Office for National Statistics's Consumer Prices Index (CPI).

The increase was fuelled partly by hikes in the price of goods at furniture retailers, as they recovered from the effects of the January Sales and by the prices of some foodstuffs and non-alcoholic drinks, although the latter was partially offset by price cuts for milk bought in shops.

Prices for computer games and children's toys fell over the course of the month, against a background of large increases during the same period last year.

British Retail Consortium director-general Kevin Hawkins said: 'CPI inflation is up, but the main drivers are rising housing and education costs. The BRC's Shop Price Index, which is a more rigorous and accurate measure of high street inflation, shows shop prices rose year on year by a much more modest 1.79 per cent in February.'

He added: 'There is no need for the Bank of England to hit the panic button for an early interest rate rise on the basis of these figures.'