Analysis: The rise in inflation in the UK may only be a temporary phenomenon.

Suren Thiru of the Institute of Chartered Accountants in England and Wales stated that, despite a slight uptick in inflation in December, a weak labor market should bring prices down to target levels this year. Consumer prices in that month rose by 3.4%, compared to 3.2% in November and an average expectation of 3.3%. Thiru said, "The recent easing of consumer financial pressures came to an abrupt end in December, as the soaring costs of flights and food during the Christmas period, along with an increase in tobacco tax, sparked concerning inflation acceleration." However, Thiru stated that this should be a temporary phenomenon, with prices expected to fall to 2% in the summer. "The downward pressure brought by slowing wage growth and rising unemployment should help drive prices onto a more sustainable downward trajectory."