inflation

Inflation rose to 2.3 percent in May 2018, according to the latest figures from the Office for National Statistics, up from 2.2 percent in April.

The figure came in a little under economists’ expectations, with forecasts coming in at 2.5 percent. A weaker inflation rate than expected will lend weight to the Bank of England’s decision not to raise interest rates, which was decided at the last monthly meeting.

Rising motor fuel prices were one of the largest upward contributions to the change in the rate between April and May 2018, with increases also from air and sea fares which had been influenced by the timing of Easter.

Partially offsetting downward effects came from price changes for games, domestic electricity, food and non-alcoholic beverages, and furniture and furnishings.

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