Inflation and government borrowing hit highest level for a year ahead of next week's Budget

Summary

Inflation and government borrowing have hit their highest level for a year, ahead of next week's Budget
The Consumer Price Index hit 3.5%, while ministers also borrowed more than expected in September, as government debt surpassed £3tn for the first time
The government spent £24.5bn more than it received last month - see the figures here - adding to the pressure before next week's Budget
Rising fuel prices and airfare costs contributed to the uptick in inflation, and to a lesser extent, the cost of going to live events
The inflation figure is slightly higher than analysts' expectations, writes our cost of living correspondent
Today's rate will be used as a benchmark for an increase in benefits come next April - find out more here
Inflation measures the increase in the price of something over time - the Bank of England has a target of keeping the rate at 2%

Live Reporting

Edited by Caitlin Doherty with cost of living correspondent Kevin Peachey

What is inflation and why has it been rising?published at 06:29 BST

Image source, Getty Images
Inflation is the increase in the price of something over time.
For example, if a bottle of milk costs £1 but is £1.10 a year later, then annual milk inflation is 10%.
If it had risen to £1.05 instead, then the inflation rate would be lower, at 5%. That would still have been an increase, but a smaller one.
When we say the inflation rate has fallen, that often means prices are still rising, just not as quickly.
The prices of hundreds of everyday items and services, including food and fuel, are tracked by the Office for National Statistics (ONS) to produce the Consumer Prices Index (CPI), with the latest figure published monthly.
The recent rise in inflation has mainly been driven by higher fuel prices, which have dramatically increased since the outbreak of the Iran conflict.
After the US and Israel attacked Iran and its proxies in February, Iran threatened shipping travelling through the Strait of Hormuz, driving up oil transportation costs, including maritime insurance.
Final inflation figures before Burnham's Budget set to be releasedpublished at 06:25 BST

Image source, Reuters
The latest set of inflation figures are set to be released at 07:00 BST.
Economists predict the rate could rise today, mostly due to the rise in global fuel prices.
In the year to August, inflation hit 3.1%. Those numbers, released last month, were an increase on the 2.9% in the year to July.
The new inflation figure comes ahead of Andy Burnham's first Budget as prime minister, which will be delivered by Chancellor John Healey on 28 October.
Stick with us, we'll bring you the figure as soon as it's announced, along with reaction and analysis from our experts.