Inflation rose more than expected due to rising energy bills, official figures showed.

It is the first increase in the rate of price growth, as measured by the consumer price index (CPI), for three months.

The figure was 2.3% in October, according to the National Statistics Office (ONS), above the forecast of 2.2% by economists.

This is also a considerable increase of 1.7% registered a month earlier.

Money Blog: Watch the reaction to inflation news live

Gas and electricity bills rose last month as the energy price cap brought the cost of a typical annual bill up to an extra £12 per month.

Inflation was not higher as prices of live music and theater tickets fell and commodity prices continued to fall due to cheaper oil.

What about interest rates?

Today’s data could affect the likelihood that the Bank of England will cut interest rates next month.

Before the inflation figure was announced, there was a 78.3% chance it would not change – and a 21.7% chance the cost of borrowing would fall by 0.25 percentage points.

After the announcement that changed to 84% chance of not being cut.

Also rising was another key measure of inflation tracked by the bank – core inflation, which measures price growth but excludes food and energy costs as they are likely to fall or rise sharply.

Core rose to 3.3 percent, more than the 3.1 percent forecast expected by economists polled by Reuters.

Services inflation was also above forecast and higher than a month ago at 5%.

The political reaction

Responding to the figures, Chief Secretary to the Treasury Darren Jones said:

“We know that UK families are still struggling with the cost of living. That’s why last month’s budget focused on fixing the foundation of our economy so we can deliver change.”

“But we know there’s still a lot to do. That’s why the government is focusing on economic growth and investment so we can make every part of the country better.”

Shadow Chancellor Mel Stride said:

“It’s higher inflation and lower growth under Labour.”

“What is worrying about today’s announcement is that inflation is running ahead of expectations and official forecasts say these figures are not expected to improve. Labour’s budget will push up inflation and mortgage rates’.