UK inflation rate soars to 3.5% in year to 'Awful April' - driven by sharp rises in household bills

21 May 2025, 07:05 | Updated: 21 May 2025, 11:10

The Bank of England, London, UK
The Bank of England, London, UK. Picture: Alamy

By Shannon Cook

The UK inflation rate jumps to 3.5% in April - driven by higher household bills.

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UK inflation surged to its highest level for more than a year last month after households were hit by a raft of “awful April” bill increases, official figures have revealed.

The Office for National Statistics (ONS) said Consumer Prices Index (CPI) inflation hit 3.5% in April, up from 2.6% in March and the highest since January 2024.

Economists had been expecting a rise to 3.3% last month.

It comes after Ofgem’s energy price cap rose by 6.4% in April, having fallen a year earlier, alongside a raft of bill rises for under-pressure households, including steep increases to water charges, council tax, mobile and broadband tariffs.

Read more: What is inflation and what does it mean for you?

Read more: Examples of where inflation jumped in April – and where it eased

ONS acting director-general Grant Fitzner said: “Significant increases in household bills caused inflation to climb steeply.

“Gas and electricity bills rose this month compared with sharp falls at the same time last year due to changes to the Ofgem energy price cap.

“Water and sewerage bills also rose strongly this year, as did vehicle excise duty, which all pushed the headline rate up to its highest level since the beginning of last year.”

London, England, UK. 20th May, 2025. Chancellor of the Exchequer RACHEL REEVES leaves Downing Street after a weekly Cabinet Meeting.
London, England, UK. 20th May, 2025. Chancellor of the Exchequer RACHEL REEVES leaves Downing Street after a weekly Cabinet Meeting. Picture: Alamy