Higher motor fuel prices drove the largest upward contribution to both monthly and annual inflation, while clothing prices provided the biggest downward offset, ONS said in a press release.
UK’s CPI rose to 3.3 per cent in March 2026 from 3 per cent in February, with monthly inflation at 0.7 per cent, as per ONS data.
Motor fuels drove the increase, while clothing offset gains.
Core inflation eased to 3.1 per cent.
Goods and services inflation rose to 2.1 per cent and 4.5 per cent.
Producer input, output and import prices surged, signalling rising upstream and global cost pressures.
Core inflation, which excludes energy, food, alcohol and tobacco, eased slightly to 3.1 per cent from 3.2 per cent in February, suggesting some moderation in underlying price pressures. However, the breakdown reveals mixed trends, with goods inflation accelerating to 2.1 per cent from 1.6 per cent, while services inflation rose to 4.5 per cent from 4.3 per cent, indicating persistent cost pressures in the services sector.
Meanwhile, producer input prices surged 5.4 per cent year-on-year (YoY) in March, compared with a revised 0.7 per cent rise in February, while factory gate output prices increased 2.6 per cent. On a monthly basis, input prices rose 4.4 per cent and output prices climbed 0.9 per cent.
Import price pressures also intensified, with the Import Price Index rising 4.2 per cent YoY in March, up from 0.6 per cent in February, suggesting growing cost pressures from global markets.
Fibre2Fashion News Desk (SG)
