UK inflation held steady at 3.8 per cent in August on the back of higher food, restaurant and hotel prices, strengthening the case for the Bank of England to keep interest rates unchanged on Thursday.
Wednesday’s figure from the Office for National Statistics was in line with the expectations of analysts surveyed by Reuters.
Food and drink was again a key driver, with inflation running at 5.1 per cent, up from 4.9 per cent in July, the ONS said. Prices for restaurants, hotels and petrol also rose.
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