The Consumer Price Index (CPI) rose sharply in December by 1.6 per cent, up from 1.2 per cent in the previous month, and the highest rate since July 2014. The 0.4 percentage point surge was above the consensus view of a 1.4 per cent rise. Pressures are building in the supply chain as demonstrated by a rise in the price of goods bought for processing (input prices). This reached 15.8 per cent in December compared with 13.3 per cent in the previous month. Output prices also rose — up 2.8 per cent on a year earlier.Looking ahead, we maintain our view of inflation reaching 3 per cent by Autumn 2017. Indeed, it could be as high as 2.5 per cent by Easter as contracts begin to unwind and retailers begin to pass through costs.
UK Retail Inflation Report
Retail Economics reports a range of retail inflation indices on a monthly basis. Subscribers have access to all data (analytical reports and interactive data) and category breakdowns including food inflation, non-food inflation, clothing and footwear, household goods, food, DIY and gardening, consumer electricals, commodity prices, exchange rates and more.
UK Retail Inflation - January 2017
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The UK Retail Inflation report includes:
|Summary and economic overview|
|Consumer inflation by category|
|Prices, costs and margins|
|Comparison of inflation benchmarks|
|Producer and Factory Gate inflation|
|Summary of external retail sales sources including Office for National Statistics, British Retail Consortium, commodity prices, commodity benchmarks, exchange rates and more|