The Consumer Prices Index (CPI) 12-month rate rose to 0.7% in October from 0.5% in September, continuing a recent rising trend.

CPI inflation was 0.2% in August.

The Consumer Prices Index including owner occupiers’ housing costs (CPIH) 12-month inflation rate was 0.9% in October, up from 0.7% in September.

Rises in the cost of clothing, food, furniture and furnishings and carpets were among the biggest upward factors in inflation, according to ONS data released today.

There were downward factors in the cost of recreation, culture and transport. 

Eight CPIH items were unavailable to UK consumers in October, unchanged from September.

Laith Khalaf, financial analyst at AJ Bell, said: “CPI is slowly making a comeback, but it’s still way below the Bank of England’s 2% target.

“Inflation isn’t just a measure of prices in the here and now, but also one year ago. More substantial gains can therefore be expected as we head into spring, as the baseline for comparison moves into the post-pandemic era.

“The current lockdown may create some short-term volatility in the number, but the overall picture is one of low, gradually rising inflation.”

Richard Pearson, director at investment platform EQi, said: “October’s inflation figures aren’t quite the jump we saw in September. With regions of the UK in a variety of local lockdowns at the time, there was an increase of just 0.2%, but an increase all the same.”

“Unfortunately the Christmas shopping season has been put on hold with the second lockdown and regional restrictions in full swing, with concerns of sustained restrictions once the English lockdown ends at the start of December. Retailers and restaurants have been forced to close up shop in what should be their busiest period in order to help stem the tide of Covid cases. Although online retailers will flourish during this period, as they did with the first lockdown, we will undoubtedly see a blow to next month’s figures.”