New figures from the Office for National Statistics this morning make more bleak news for Sunak and Hunt as CPI inflation for the year to December 2023 rose to 4%, up from 3.9%. That’s the first rise in 10 months. Hopes of an imminent interest rate cut will be fading…

Economists were expecting another small drop to 3.8%. Alcohol and tobacco made up the most meaningful increase in inflation rates, up 12.9% from the month before thanks to the largest tobacco tax rise in history. Tax hikes bite hard – Guido hates to say he told you so…