Inflation remains at five-year high

Inflation held steady at 3% during October, according to the Office for National Statistics.

The UK’s key measure of inflation, the Consumer Prices Index, remains at a five-year high.

The news will come as a surprise to many economists who had predicted a rise following increased food price hikes.

Many analysts had predicted an increase to at least 3.1%, which would have led to Mark Carney, the Bank of England governor, having to write to Chancellor to explain why he thought the Consumer Price Index had risen above 3%.

The Bank of England’s inflation target is 2%. It raised interest rates earlier this month after predicting inflation would hit 3.2% in October.