Irish inflation hits three-year high of 4.3%

Higher energy prices drove Irish inflation to a three-year high of 4.3 per cent in October, according to the latest official figures.The consumer price index (CPI) indicated prices across the board rose by 0.7 per cent between September and October.The sectors with the highest rate of price growth over past 12 months were housing, water, electricity, gas and other fuels (up 10.7 per cent) and transport (up 9 per cent).The housing, water, electricity, gas and other fuels category, which has the biggest weighting in the CPI’s index, accounted for 1.66 per cent of the overall 4.3 per cent.READ MOREThis was primarily due to a rise in the cost of home heating oil, electricity, gas, rents and mortgage interest repayments, the CSO said. Home heating oil is now over 74 per cent more expensive than at this time last year. Mortgage costs are also up significantly – by 10.8 per cent year-on-year.The European Central Bank (ECB) is expected to increase interest rates again next month in response even though falling oil prices, linked to reports the US is now unlikely to strike Iran again, has improved the inflationary outlook.More to follow