Oasis and airfares to impact inflation rate

PRICES in the UK rose faster last month as the school holidays boosted travel costs and grocery bills remained elevated, economists predict.

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Some experts claim an “Oasis bump” may also have contributed to higher accommodation prices in July.

The Office for National Statistics (ONS) will publish the latest inflation dataset today.

The rate of Consumer Prices Index (CPI) inflation is widely expected to have increased to 3.7% in July, from the 3.6% recorded in June.

The school summer holidays are likely to have seen airfares rise considerably, with airlines typically bumping up prices in July amid stronger demand from families.

Analysts for Pantheon Macroeconomics forecast that airfares could have surged by 17.1% between June and July.