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    UK Inflation Rate in September Highest in Over Five Years Amid Brexit Talks

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    The UK Office for National Statistics has reported a surge in the nation's inflation rate amid ongoing Brexit talks with EU to determine the terms of the country's exit from the bloc and a weak pound.

    MOSCOW (Sputnik) — The Consumer Prices Index 12-month inflation rate in the United Kingdom was 2.8 percent in September, the highest rate since March 2012 and 0.1 percentage point more than in August this year, the UK Office for National Statistics (ONS) said Tuesday.

    "The Consumer Prices Index including owner occupiers’ housing costs (CPIH) 12-month inflation rate was 2.8% in September 2017, up from 2.7% in August 2017; it was the last higher in March 2012," the ONS said.

    According to the statistics agency, the inflation growth was stimulated by rising prices for food, recreational goods, and transport costs.

    "These upward effects were partially offset by downward contributions from a range of goods and services, in particular, clothing prices, which rose by less than they did a year ago," the ONS said.

    According to the statistics agency, the overall inflation rate in the United Kingdom is higher than in most other EU countries.

    The United Kingdom is currently in the midst of Brexit talks, which will determine the conditions of its withdrawal from the European Union. The talks have to conclude by the end of March 2019, whether the sides have reached the deal or not.

    The UK pound sterling fell in the wake of the 2016 referendum on Brexit and has not quite regained its footing yet. The weak pound hit imports, although it helped promote UK tourism and boosted demand for some manufactured goods produced in the United Kingdom.

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