UK Inflation Rose to 0.7% in March From 0.4% in February

Official figures showed that British consumer price inflation increased to 0.7% in March from 0.4% in February, due to the rise in fuel and clothing prices, slightly below the average forecast of 0.8% in a Reuters poll of economists.

Food prices are down from a year ago.

British inflation is expected to rise sharply in the coming months, due to an increase in household regulated energy bills in April, and the rise in global oil prices and the comparison with prices a year ago when the lockdown measures to combat Covid caused a decline in demand.

The Bank of England forecast in February that inflation would reach 1.9% by the end of 2021, but many economists now expect it to exceed its 2% target before then.