Inflation hits 2.8% as utility and education costs soar

CONSUMER prices rose by 0.3% last month, pushing the annual rate of inflation up to 2.8% in October.

Significant rises in the cost of education and everyday utility services meant that the inflation rate rose for the third consecutive month — and higher than expected from the 2.6% measured in September — according to latest monthly data published yesterday by the Central Statistics Office (CSO).

A hike in third-level study fees bumped up education costs by 7.5% last month and 6.5% year on year; while housing, water, electricity and basic fuel costs rose by 1.7% and 10.2% year on year. There was also a further hike in mortgage interest costs — up 0.6% and by 18% in the past year.