UK inflation unexpectedly holds steady at 6.7% amid rising fuel prices

Rate is unchanged in September, raising questions over next Bank of England decision on interest rates

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UK inflation unexpectedly held steady in September at 6.7% as soaring fuel costs offset the first monthly fall in food prices for two years to maintain pressure on households amid the cost of living crisis.

The Office for National Statistics said the annual inflation rate as measured by the consumer prices index remained unchanged from August's reading, raising questions over the Bank of England's next decision on interest rates in November. City economists had forecast a modest fall to 6.6%.