U.K. inflation jumps most at 2.9% since 1997

摘要

The UK inflation rate jumped in December by the most since records began in 1997, posing a challenge to policy makers as they consider when to startraising interest rates. Consumer prices climbed 2.9% from a year earlier, I percentage point more than in November, the Office for National Statistics said on Tuesday in London. The rate rose after oil prices jumped and 2008 cuts in sales tax and retail prices weren't repeated. The pound extended gains after the release. This is the first time since May that inflation has exceeded the Bank of England's 2% target, and economists say it may accelerate further in January. While officials argue that the rate will dropagain this year, the figures put pressure on them to consider tightening policy as Britain recovers from the recession and braces for an election by June.