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Experts believe price rises across the UK may ease after inflation peaked in September, providing some relief to households.
Economists expect the consumer price index (CPI) inflation rate to have fallen in October when official data is published on Wednesday.
It comes after the Bank of England said last week it believed inflation had “peaked” and would start to decline.
CPI fell to 3.8% in September, at the same level as both July and August, latest data National Statistical Office (ONS) showed.
Some economists are expecting the CPI to fall to 3.5% in October.
Elevated food and beverage inflation has helped put downward pressure on the overall rate this year, with households seeing particularly steep increases in prices of items such as chocolate, coffee, cheese and eggs.
However, the price of food and non-alcohol beverages fell between August and September, the first monthly decline since May last year.
experts I think food price inflation may continue to decline in October.
Furthermore, energy costs are expected to be an important factor exerting pressure on the overall inflation rate.
ofgem The energy price cap was increased by 2% in October, but this is well below the 9.6% increase last year, meaning energy price inflation is set to decline.
Jack Meaning, chief UK economist at Barclays, said he believed September “represents the peak of inflation” and that CPI would fall to 3.5% in October.
UK economists Robert Wood and Elliot Jordan-Doch of Pantheon Macroeconomics also said they were forecasting inflation to ease to 3.5% due to energy costs.
But he also cautioned against rising university tuition fees, particularly for international students, which added to inflationary pressures last month.
Sanjay Raja, chief UK economist at Deutsche Bank, estimates overall inflation will decline to 3.7% in October.
But he said that the coming autumn Budget This was likely to be marked as “the next most significant inflation forecast update”, with tax increases likely to reduce inflation.
“Speculation is rife about lower energy bills, indexation costs, tariffs and food prices,” Mr Raja wrote in a research note.
“we expect chancellor Some minor measures will be taken to reduce prices on November 26.
“This will give us a good idea of where inflation will be in 2026.”