Inflation rises to 3.3% in March

Is your business being negatively impacted by rising inflation and higher fuel costs? If so, in what way? Are you having to raise prices? Tell us all about it. It's on the back of new data just published showing higher fuel prices due to the war in the Middle East saw the Consumer Prices Index (CPI) rise by 3.3% in the 12 months to March 2026, up from 3.0% in the 12 months to February.

On a monthly basis, CPI rose by 0.7% in March 2026, compared with a rise of 0.3% in March 2025. Motor fuels made the largest upward contribution to the monthly change in both CPIH and CPI annual rates, while clothing made the largest, partially offsetting, downward contribution.

Core CPI (CPI excluding energy, food, alcohol and tobacco) rose by 3.1% in the 12 months to March 2026, down from 3.2% in the 12 months to February; the CPI goods annual rate rose from 1.6% to 2.1%, while the CPI services annual rate rose from 4.3% to 4.5%.

Grant Fitzner, Chief Economist, ONS, said: "Inflation climbed in March, largely due to increased fuel prices, which saw their largest increase for over three years. Airfares were another upward driver this month, alongside rising food prices. The only significant offset came from clothing costs, where prices rose by less than this time last year. The monthly cost of both raw materials for businesses and goods leaving factories rose substantially, driven by higher crude oil and
petrol prices."