Annual September rate confounds forecasts of a rise, as pace of food price growth slows for first time since March
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UK inflation was unchanged last month at 3.8%, confounding expectations of a rise, in welcome news for the chancellor, Rachel Reeves, as she plans for her crucial budget next month.
The Office for National Statistics (ONS) said that inflation measured on the consumer prices index remained at the same level in September as in August and July.
City expectations had pointed to 4% reading but the ONS said upward pressure from transport prices was offset by cheaper food and a slowdown in inflation for “recreation and culture”, including live music tickets.
