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UK inflation rose to 3.8% in September 2025, driven by soaring food prices and business costs, exceeding the Bank of England’s target.
UK inflation hit 3.8% in September 2025, the highest since early 2024 and well above the Bank of England’s 2% target, driven by a 5.1% rise in food prices.
Rising business costs, including higher National Insurance and packaging taxes, added over £7 billion in expenses for retailers.
Supermarkets and business leaders are urging the government to exempt large shops from a proposed business rates surtax, warning it could worsen inflation and hurt growth.
Inflation now exceeds the EU average and is the highest among G7 nations, according to OECD forecasts.
Analysts link the trend to fiscal decisions from the 2024 Budget and caution against further tax hikes, urging targeted reforms to reduce business costs and support consumers ahead of the November Budget and holiday spending.
La inflación del Reino Unido aumentó al 3,8% en septiembre de 2025, impulsada por el alza de los precios de los alimentos y los costos empresariales, superando el objetivo del Banco de Inglaterra.