Rising Fuel in Britain Prices Spur Inflation in May
LONDON (Dispatches) - Inflation remained at 2.4% in May, according to the British Office for National Statistics (ONS), after its fall was halted by a sharp rise in fuel costs.
The ONS said that fuel prices increased by the biggest monthly amount since January 2011, rising by 3.8%.
Mike Hardie, head of inflation at the ONS said: "Recent large rises in the cost of crude oil have fed through to prices paid by consumers at the pump."
Inflation has been falling since November last year.
The rise in oil prices also drove up raw material costs for companies, which jumped by 9.2%.
The effect was also seen in rising prices for air and ferry travel.
"While inflation appears to be under control there are signs in the data, and outside it," said Laith Khalaf, senior analyst at Hargreaves Lansdown.
"Petrol prices are up 8% over the course of the year, and all the Big Six energy firms are putting up prices this summer, which is yet to feed into the numbers," he said.
On Tuesday, the ONS said wage growth slowed to 2.8% in the three months to April from 2.9%. Data also revealed that manufacturing output fell 1.4% in April, the biggest decline for nearly six years.
The ONS said that fuel prices increased by the biggest monthly amount since January 2011, rising by 3.8%.
Mike Hardie, head of inflation at the ONS said: "Recent large rises in the cost of crude oil have fed through to prices paid by consumers at the pump."
Inflation has been falling since November last year.
The rise in oil prices also drove up raw material costs for companies, which jumped by 9.2%.
The effect was also seen in rising prices for air and ferry travel.
"While inflation appears to be under control there are signs in the data, and outside it," said Laith Khalaf, senior analyst at Hargreaves Lansdown.
"Petrol prices are up 8% over the course of the year, and all the Big Six energy firms are putting up prices this summer, which is yet to feed into the numbers," he said.
On Tuesday, the ONS said wage growth slowed to 2.8% in the three months to April from 2.9%. Data also revealed that manufacturing output fell 1.4% in April, the biggest decline for nearly six years.