The annual rate of inflation rose again last month.

Inflation as measured by the Consumer Prices Index increased to 1.6 per cent in January, having remained at 1.0 per cent during the previous two months.

The main drivers of inflation were housing, water, gas, electricity and other fuels, transport, recreation and culture.

Depreciation of the pound had a significant impact, with heating oil up 32 per cent on 12 months ago and petrol and diesel up 12.1 per cent over the same period.

Travel costs also increased, with flights booked three months in advance having been the main contributor as a result of seasonal increases due to the Easter period. There were also increases in sea travel fares.

Inflation as measured by the retail prices index increased to 6.9 per cent in January, up from 6.4 per cent the previous month.