Some economists predict September’s CPI inflation rate could hit 3.1%. Last month’s inflation figures are of key importance because they are used by the government to calculate increases in the state pension and other benefits for the next year. Why central banks are not hitting their 2% inflation target | Nouriel Roubini Read moreSeptember’s inflation figures are also important because they are used to set the taxes companies pay in the form of business rates. The anticipated surge in inflation comes as concerns grow about the overall health of the economy, fuelling calls for the Bank to keep interest rates on hold. Howard Archer, the chief economic advisor to forecasting group, said: “We are far from convinced that raising interest rates this year is the recommended course of action.”

Source: The Guardian October 16, 2017 04:30 UTC