Inflation Continues to Cast a Shadow over Firms

Responding to the latest inflation data published by the Office for National Statistics, Caterina Batog, Research and Economics Analyst at the British Chambers of Commerce, said:

“Ahead of next week’s Budget, today’s data showing CPI rose to 3.5% in September is a stark reminder of the growing price pressures in the UK economy. Once again fuel prices were the main driver behind a slightly higher than expected rise.

“Inflation is casting a dark shadow over the businesses we represent, who are already struggling with a succession of high costs.

“Our latest survey of over 4,000 firms shows inflation remains their top concern, cited by 60% of responding businesses. With the ongoing Middle East conflict, high energy costs remain a clear risk to even higher inflation, and the Bank of England will be watching closely ahead of its next decision.

“It’s two years since CPI was below the 2% target. With interest rates the primary tool available to control inflation, today’s data will add more pressure on the MPC to consider a rate rise next month.

“This high inflation landscape makes it even more crucial that the Chancellor uses his Budget to cut the cost of doing business. A targeted tax reduction package to ease energy and business rates costs would help unlock the sustained growth we all want to see.”

Read more latest news from the BCC here.

21.10.2026