UK inflation holds firm despite rising food prices

UK inflation unexpectedly held steady last month.

The annual rate was unchanged from September’s five-and-half year
high of 3%, official data showed.

Rising food prices were offset by lower fuel costs.

The results defied expert forecasts.

When the Bank of England raised interest rates for the first time in a decade earlier this month, it said it expected inflation to hit 3.2 percent in
October.

The pound fell to a three-week low against the euro on the back of the news.