The Consumer Prices Index (CPI) measure of inflation rose to 3% in September 2017, according to the Office for National Statistics.
The broader Retail Prices Index (RPI) remained at 3.9% in September 2017.
CPI is now at a high not seen since April 2012, which is fuelling speculation that the Bank of England may decide to increase interest rates in the near future.
It is worth remembering that in September 2011, inflation was at 5.2%, so although inflation is on the rise, we are not in unchartered waters.
Farrell Financial Planning do not give advice on future inflation or interest rate movements. Farrell Financial Planning are independent financial advisers (IFAs) based in Glasgow, Scotland.
Please feel free to explore our website and discover more about the advice services we offer.