37% of businesses report higher prices

4th November 2021

Prices of materials, goods and services increased faster than usual in October 2021, data from the Office for National Statistics (ONS) shows.

Nearly two fifths (37%) of businesses reported the prices of materials, goods and services purchased last month had increased more than their normal prices fluctuations.

This has increased from 21% in late May 2021 and 15% in late December 2020.

Industries hardest hit were construction (67% of businesses) and manufacturing (66% of businesses), the ONS said.

Some of these prices are being passed on to consumers, with 15% of businesses reporting they had increased the price of goods and services they sold in October, up from 11% in September 2021 and 4% in December 2020.

Retail had the highest proportion of businesses (29%) that reported an increase in prices of materials, goods and services they sold to their customers, followed by the manufacturing industry (28%) and the construction industry (24%).

The recent rise in prices has contributed to the rising inflation rate which, as measured by the Consumer Prices Index, stood at 3.1% in September 2021.

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