UK inflation up 3.5% as utilities soar

Britain’s annual inflation rate surged more than expected in April as energy and water bills rose sharply, official data showed yesterday.

- BEN PERRY

The Consumer Prices Index soared to 3.5% last month, up from 2.6% in March, the Office for National Statistics said in a statement. Analysts' consensus forecast had been for a jump to 3.3%.

At 3.5%, the headline rate was the highest since the beginning of 2024, the ONS noted.

"I am disappointed with these figures because I know cost of living pressures are still weighing down on working people," finance minister Rachel Reeves said in a statement.

UK regulators allowed private companies to hike household bills from April, taking into account movements in oil and gas markets and indebted water providers.