What is happening to UK prices?

Inflation in the UK rose to 3.5% in the year to September, the highest rate in nearly a year and above the Bank of England's 2% target.
The rise was slightly higher than economists had predicted, driven by higher petrol and diesel prices.
For example, if a bottle of milk costs £1 but is £1.05 a year later, then annual milk inflation is 5%.
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