UK inflation hit 9%in the year to April, a 40 year high, fueled by energy costs, cost of motor fuel and used car prices.
According to government figures the biggest hike to the annual CPIH inflation rate in April 2022 came from housing and household services, up 2.76 percentage points, principally from electricity, gas and other fuels, and owner occupiers’ housing costs.
Transport was up 1.47 percentage points, principally from motor fuels and used cars.
Average petrol prices stood at 161.8 pence per litre in April 2022, compared with 125.5 pence per litre a year earlier. The April 2022 price is the highest recorded.
The average price of diesel in April 2022, which was 176.1 pence per litre, was also the highest on record.
The 12-month rate for motor fuels and lubricants was 31.4%, the highest since before the start of the constructed historical series in January 1989.
The CPI commented on the used car market, noting the chip shortage impacting supplies of new cars, stimulating demand for used.
It also noted the shortage of one year old cars coming to market because of the fall in new car sales a year earlier and the extension of lease contracts.
Seán Kemple, managing director at Close Brothers Motor Finance, said: “Inflation continues to rise and cause headaches across the UK, not least for the motor industry.
“With the cost of living soaring, and fears of bad debt increasing, consumers are being attacked from all angles. Used car prices remain high a – trend which is changing the priorities of prospective buyers.”