UK inflation rises to highest level since May 2012

UK CPI inflation rose from 2.7% to 2.8% in February as rising energy prices pushed the reading to its highest level since May of last year.

The rise in CPI, in line with economists' expectations, comes after four consecutive months of inflation standing at 2.7%. The headline rate is the highest since May last year, when CPI inflation stood at 2.8%, down from 3% in April 2012. Rising gas and electricity bills, coupled with price changes for petrol, air transport and some consumer goods, were the largest contributors to last month's increase. The largest downwards pressure came from smaller rises in food prices than were seen a year ago, and a fall in alcohol prices. RPI inflation, meanwhile, dropped slightly to 3.2%,...