UK inflation dropped to 6.7 per cent in August and is expected to have fallen further in September but still remains stubbornly above the Bank of England’s target of 2 per cent, keeping the cost of goods and services high and households under pressure.
Rising oil prices over the course of September hindered a hoped-for fall in price growth and upped the cost of a litre of petrol at the pumps. Meanwhile, a weakening job market has seen unemployment increase. More positively, average wage growth rose at an annual rate of 7.8 per cent between June and August, outpacing inflation for the first time in two years.
