UK Inflation Hits 3.1% as Fuel Costs Surge 23% — SkimNews
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- UK inflation jumped to 3.1% annually in August, the first reading above 3% since March and in line with economist expectations, according to the Office for National Statistics.
- Motor fuel costs drove the spike, surging 23% year-on-year, with average gasoline up 9.1 pence per liter and diesel up 14.2 pence per liter from July to August.
- Gasoline prices hit their highest level since November 2022, while the RAC said petrol and diesel are now at levels not seen in four years — since the Iran war began.
- Household energy bills — electricity, gas, and other fuels — climbed 6% year-on-year in August, compounding the motor-fuel squeeze on consumers.
- Crude oil has been hovering above $100 a barrel, feeding the pump-price spike and amplifying pressure on the UK, which is a net energy importer and therefore especially vulnerable to external shocks.
- The UK remains caught in a cost-of-living crisis that the ONS traces to post-pandemic inflation and surging energy costs that arose after Russia's full-scale invasion of Ukraine in 2022.
Why it matters: UK households face renewed cost-of-living pressure as motor fuel costs surge 23% year-on-year and household energy bills climb 6%, pushing inflation to 3.1% — its highest since March. As a net energy importer with crude oil above $100, Britain remains exposed to external shocks and is still grappling with a post-2022 cost-of-living crisis.
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