U.K. posts the biggest jump in annual inflation on record

The U.K. posted the biggest jump in annual inflation on record last month as global supply shortages and rising wages magnified the scale of price increases after pandemic-related discounts a year ago. The Office for National Statistics says consumer price inflation accelerated to 3.2 percent in the 12 months through August from 2 percent the previous month. Economists had forecast an inflation rate of 2.9 percent. The unexpected jump in prices may mean that inflation will peak at a higher level and will remain elevated for a longer period than previously expected, according to economists at Berenberg Bank. That would increase pressure on the Bank of England to boost interest rates as it targets 2 percent inflation.