Inflation across the United Kingdom (U.K.) rose an annualized 2.6% in November, matching the expectations of economists.
Britain’s Office for National Statistics said inflation climbed higher in November after advancing at an annualized rate of 2.3% in October of this year.
Core inflation, which excludes volatile energy, food, alcohol and tobacco prices, came in at 3.5%, just under a consensus forecast of 3.6%.
Economists expect inflation to continue marching higher in coming months as energy prices climb during the winter months.
As has been the case for several months, persistent inflation in the services sector, the dominant part of the U.K. economy, has kept overall consumer prices elevated.
The November data showed services inflation in the U.K. was unchanged at 5%.
However, the November inflation data was largely in-line with the projections of economists and the Bank of England.
Financial markets do not currently expect the Bank of England to lower interest rates further at its final meeting of the year on Dec. 19.
So far this year, the British central bank has lowered its benchmark interest rate twice, bringing it down to 4.75% from 5.25% previously.
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