Source: Office for National Statistics
The annual consumer prices in the UK rose by 5.5% in January 2021, accelerating from 5.4% the previous month. The inflation was the highest since March 1992. FTSE 100 is down -0.0072%, GBPUSD is up +0.26%.
- Including owner occupiers’ housing costs, consumer prices rose by an annual 4.9% in January, from a gain of 4.8% in the previous month.
- On a month-over-month basis, the consumer prices edged lower by 0.1% in January. CPIH was unchanged in January on an annual basis.
- Producer prices also edged higher, with the headline output charges rising by an annual 9.9% in January, up from 9.3% the previous month. On a monthly basis, output inflation was recorded at 1.2% in January, up from 0.3%.
- With the annual inflation surpassing estimates of 5.4%, the latest surge now adds pressure for the Bank of England to tighten policy further after recent rate hikes.
