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The Consumer Prices Index including owner occupiers’ housing costs (CPIH) 12-month inflation rate was 2.8% in October 2017, unchanged from September 2017. The inflation rate for food and non-alcoholic beverages continued to increase to 4.1%, the highest since September 2013. Rising prices for food and, to a lesser extent, recreational goods provided the largest upward contributions to change in the rate between September 2017 and October 2017. The upward contributions were offset by falling motor fuel and furniture prices, along with owner occupiers’ housing costs, which remained unchanged between September 2017 and October 2017, having risen a year ago. The Consumer Prices Index (CPI) 12-month rate was 3.0% in October 2017, unchanged from September 2017.

The headline rate of inflation for goods leaving the factory gate (output prices) rose 2.8% on the year to October 2017, down from 3.3% in September 2017. Prices for materials and fuels (input prices) rose 4.6% on the year to October 2017, down from 8.1% in September 2017.Core input inflation was 3.2% on the year to October 2017,  which is the lowest it has been since June 2016.

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