UK inflation rises at fastest rate in almost 30 years

Inflation in the United Kingdom has risen at the fastest rate in almost 30 years as increased costs for energy, housing and transportation squeezed household budgets

LONDON -- Inflation in the United Kingdom has risen at the fastest rate in almost 30 years as increased costs for energy, housing and transportation squeezed household budgets.

The consumer price index ticked up to 5.5% in the 12 months through January and was up from 5.4% the previous month, the Office for National Statistics said Wednesday. The latest figure is the highest since March 1992, when inflation reached 7.2%.

By comparison, U.S. consumer prices jumped 7.5% last month — the highest rate in 40 years — while they increased to a record 5.1% in the 19 countries that use the euro.

U.K. consumers are reeling from a surge in utility bills fueled by increased demand for energy worldwide as the global economy recovers from the COVID-19 pandemic. Household natural gas prices jumped 28.3% over the past year and electricity prices rose 19.2%. By comparison, U.S. gas prices increased 23.9% and electricity prices rose 10.7%.