Latest Inflation Rate 10.4% CPI Announced Today - Will Interest Rates Go Up Tomorrow

22nd March 2023

The Consumer Prices Index including owner occupiers' housing costs (CPIH) rose by 9.2% in the 12 months to February 2023, up from 8.8% in January.

The largest upward contributions to the annual CPIH inflation rate in February 2023 came from housing and household services (principally from electricity, gas, and other fuels), and food and non-alcoholic beverages.

On a monthly basis, CPIH rose by 1.0% in February 2023, compared with a rise of 0.7% in February 2022.

The Consumer Prices Index (CPI) rose by 10.4% in the 12 months to February 2023, up from 10.1% in January.

On a monthly basis, CPI rose by 1.1% in February 2023, compared with a rise of 0.8% in February 2022.

The largest upward contributions to the monthly change in both the CPIH and CPI rates came from restaurants and cafes, food, and clothing, partially offset by downward contributions from recreational and cultural goods and services (particularly recording media), and motor fuels.

The estimates for February 2023 have been constructed using updated expenditure weights; this is the second and final weights update for 2023.

This release is the first publication to include expanded data on rail fares as part of our project to transform consumer price statistics.

The Bank of England will announce the new interest rates tomorrow 23 March. One question is whether inflation rates are going down or are static at over 10 percent.

Recently Catherine Mann a member of the Bank's monetary policy committee (MPC), which sets the base rate said Interest rates will need to rise again to prevent inflation becoming a persistent problem in the UK, a Bank of England policymaker has warned.

A shortage of workers and high wage demands were likely to continue pushing up inflation, acting as a counterweight to falling energy prices, said Catherine Mann, a member of the Bank's monetary policy committee (MPC), which sets the base rate.

The only good thing on the horizon is a reduction in energy costs due to the falling gas and oil price.

The Bank of England has raised interest rates ten times since December 2021.

The Federal Reserve is expected to raise interest rates today Wednesday 22 March 2023 by a quarter point,