Inflation unchanged at 3.1%

With strong rises in air fares, a three-month downward trend has been brought to an end and the figure remains well above the 2% Bank of England target. Other factors contributing to the continuing high figure include food and clothing prices, although falling second-hand car prices and decreases in petrol and diesel prices have applied some downward pressure. However, a fall has been registered with RPI inflation, down from 4.8% in July to 4.7% last month, mainly becasue air travel does not have as much weight as it does with the CPI. The ONS says air fares went up by 16.1% in Aug...