UK inflation hits 30-year high as fuel prices surge

The rate of inflation has hit a 30-year high of 7% in March as the cost of living deepens further with Russia’s invasion of Ukraine driving up energy and food prices.

The 7% annual rise in the consumer price index is the highest since March 1992, outstripping the 6.2% increase recorded in February.

The latest figures from the Office for National Statistics highlight the extent of the cost-of-living crisis as shop prices surge alongside rising energy bills and taxes.

The biggest contributor to rising inflation was transport, with average petrol prices rising by 12.6p per litre between February and March, the largest monthly rise since records began in 1990, the ONS said.

ONS Chief Economist, Grant Fitzner, said: “Broad-based price rises saw annual inflation increase sharply again in March.

“Amongst the largest increases were petrol costs, with prices mostly collected before the recent cut in fuel duty and furniture.

“Restaurants and hotel prices also rose steeply in March while, after falling a year ago, there were rises across a number of different types of food.”

He added: “The price of good leaving UK factories has continued to rise substantially with metal and transport products both at record highs and food reaching its highest rate for over a decade.

“Raw material costs also rose, with a notable increase in the price of crude oil.”