UK inflation set to cool as prices settle following April bill rises

UK inflation is set to have slowed last month as prices settled following “awful April” bill rises, economists have suggested.

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The rate of Consumer Prices Index (CPI) inflation is expected to have fallen to 3.3% in May, from 3.5% in April, according to a consensus of analysts.

Since releasing the data, the Office for National Statistics (ONS) said that an error in vehicle tax data collected meant April’s CPI rate should have been 3.4% - but that it was not revising the official figure.

A decline would mean prices were still rising in May, but at a slower rate than in April when a raft of bills increased for households up and down the country.