Private renter households had the highest annual inflation rate of 3% in the year to September 2024, reflecting rising private rental payments, the latest Office for National Statistics (ONS) reveals.
Data shows that mortgagor and other owner occupiers followed closely with a 2.6% inflation rate within the same period.
The all-households inflation rate has followed the fifth income decile most closely.
Costs for these households went up by 1.8% in the year to September this year, compared with rises of 2.5% for high-income households (decile 9) and 1.4% for low-income households (decile 2).
Outright owner occupiers experienced the lowest annual inflation rate by tenure type at 1.0% within the period. This was followed by social and other renters who had the next lowest at 1.9%.
Non-retired households continued to experience a higher annual rate of inflation at 2.3% in the year to September 2024 compared to retired households at 1.1%
The ONS says, the household costs index’s “fixed basket” of goods and services is based on the average household’s share of spending, while the consumer price index’s basket reflects the total share of spending across all UK households.
Earlier this month, the ONS reported that UK inflation increased sharper than markets expected in October to 2.3%.
The increase was driven by higher household energy bills, as markets predicted it would.