The report found that petrol prices rose 1.3p in January to reach 103.9p a litre, compared with a fall of 0.8p a year ago. Alongside petrol, there was also a surge from food – particularly fruit – and furniture, where prices fell by less than last year. However, a large downward effect came from clothing and footwear, where the overall prices of garments fell by more than last year.
Retail Prices Index (RPI) inflation jumped to 4.1 per cent in January, up from 4 per cent in December. The main factors affecting the CPI also affected the RPI. However, the RPI was also affected by mortgage interest payments, which had a downward effect on it.
Internationally, the CPI showed that the UK inflation rate in December, at 2.1 per cent, was below the provisional figure for the European Union as a whole of 3.2 per cent.