Figures from the Central Statistics Office show that inflation rose to 2% in the year to August, as consumers paid higher prices for petrol, diesel, clothing and footwear.

Inflation had stood at 1.6% in July.

The CSO said the consumer price index rose by 0.6% in August, its first monthly increase in five months.

The increase compared to a rise of 0.2% the same time last year.

Prices of clothing and footwear increased by 6.6% last month as the summer sales came to an end.

The cost of transport rose by 1.6% on the back of higher petrol and diesel prices.

The cost of housing, water, electricity, gas and other fuels fell by 0.5% due to lower mortgage interest repayments.

However, this was partially offset by an increase in the cost of home heating oil.