The annual rate of inflation has jumped to 3 per cent on the back of rising fuel costs, the latest figures from the Central Statistics Office (CSO) revealed today.
The CSO said consumer prices for September, as measured by the Consumer Price Index, increased by 0.8 per cent in the month.
This compares to an increase of 0.1 per cent in September of last year; as a result, the annual rate of inflation rose to 3 per cent, up from 2.3 per cent in August.
The CSO said transport costs increased due to higher prices for petrol and diesel, while home heating oil prices and average mortgage interest repayments also rose.
It said clothing and footwear prices continued to recover following the traditional summer sales.
The CSO said the annual rate of inflation for goods was 2 per cent in September, while the corresponding rate for services was 3.9 per cent.
It said the "most notable changes" in the year were increases in the prices of housing, water, electricity, gas and other fuels - which rose 11.1 per cent.
Education costs increased by 6.8 per cent, while the cost of health and transport rose by 6.6 and 6.4 per cent, respectively. Price in restaurants and hotels increased 3.1 per cent.
There were decreases in the prices of clothing and footwear - which fell 2.4 per cent.
The CSO figures follow a warning from the European Central Bank (ECB) today of the need for strong vigilance against upward pressures on inflation within the euro zone.
The October bulletin's editorial stuck closely to the more hawkish tone in the statement ECB President Jean-Claude Trichet gave after last week's decision to hold interest rates at 2 per cent.