Inflation nears 3% in August but economists point to 'deflationary forces'

The UK's Consumer Price Index rose to 2.9%, well above the Bank of England's target of 2%, reaching levels last seen in April 2012.  The gain came after the biggest rise in clothes and footwear prices in almost three decades, which surged 2.4% on the month and 4.6% compared with a year earlier. Meanwhile, a renewed fall in sterling and increasing commodity prices also impacted. A statement from the ONS said: "The depreciation of sterling seen in 2016 and particularly following the outcome of the EU referendum would increase the prices producers pay for imported goods. "The infla...