Inflation rate holds steady as UK economy grows

The UK's rate of inflation held steady in September while the nation's economy grew the month before, according to the latest figures from the Office of National Statistics (ONS).

06 Nov 2023

The UK's rate of inflation held steady in September while the nation's economy grew the month before, according to the latest figures from the Office of National Statistics (ONS).

The ONS revealed that the CPI rose by 6.7% in the 12 months to September, the same rate as was recorded in August. The CPIH, which includes owner occupiers' housing costs, rose by 6.3% during this time.

Core CPI, which excludes energy, food, alcohol and tobacco, rose by 6.1% in the 12 months to September 2023, down from 6.2% in August. According to the ONS, the CPI services annual rate rose from 6.8% to 6.9%, while the CPI goods rate fell slightly from 6.3% to 6.2%.

David Bharier, Head of Research at the British Chambers of Commerce (BCC), said:

'Our research finds that most SMEs report no increases in sales, exports, or investment. The rise in interest rates has also emerged as a prime concern for almost half of businesses, with increased borrowing costs another barrier to contend with.

'Businesses need clarity on interest rates, as well as a longer-term plan for growth in the economy, focusing on infrastructure, skills, and alleviating trade barriers.'

Meanwhile, the UK economy grew by 0.2% in August, according to the ONS. It said the main contributor to the growth was the services sector.

The 0.2% growth figure followed a fall of 0.6% in July.

Bharier added:

'With GDP growing by 0.3% in the three months to August and by 0.2% on a monthly basis, the UK economy is holding up but remains in a precarious state.

'Our research is clear about the issues UK firms are facing – three years of economic shocks, high inflation and interest rates, skills shortages and trade barriers with the EU. Consequently, most SMEs report no increase in their investment plans.'

Internet link: ONS website ONS website BCC website BCC website

About our team

As a member firm of the Institute of Chartered Accountants in England and Wales, technical excellence is in our DNA.

Learn more

Midlands Office
Unit B2, The Point, Weaver Road, Lincoln, Lincolnshire LN6 3QN
Southern Office
Cornerways House, School Lane, Ringwood, Hampshire BH24 1LG
London Office
Temple Chambers, 3-7 Temple Avenue, London EC4Y 0DB

Home | Contact us | Site map | Accessibility | Disclaimer | Website Policy | Privacy Policy | Health and Safety Policy | Legal | Diversity | Equalities | Sustainability | Help |

© 2024 Jamieson Alexander Audit Limited. All rights reserved. powered by totalSOLUTION
STS Advisory is a trading style of Jamieson Alexander Audit Limited.
Registered in England - Number 11130433 | Registered Office: Temple Chambers, 3-7 Temple Avenue, London EC4Y 0DB
Registered to carry on audit work in the UK; regulated for a range of investment business activities; and authorised to carry out the reserved legal activity of non-contentious probate in England and Wales by the Institute of Chartered Accountants in England and Wales.
(firm reference: C006030683)

We use cookies on this website, you can find more information about cookies here.