Euro inflation stable at 3%

Eurozone inflation remained stable at three per cent in October, new data showed yesterday, unchanged from the previous month but well above the European Central Bank target.

Eurostat, the European Union’s statistical agency, said it estimated annual inflation in the 17-nation eurozone at three per cent, the 12th month in a row that inflation has been over the ECB target for price stability of below or close to two per cent. Transport and housing saw the sharpest rises in the euro area during the month, increasing 5.8 per cent and 5.1 per cent respectively, Eurostat said.

Twelve-month inflation across the 27-state EU rose to 3.4 per cent against 3.3 per cent the previous month, a sharp rise against the rate a year earlier of 2.3 per cent.

Lowest rates in October in the 27 states were registered in Sweden, with 1.1 per cent and Ireland with 1.5 per cent, while Britain had the highest inflation of five per cent.