Official figures show that British consumer price inflation rose at its fastest annual rate in nine months in December.
This was because a cut in VAT, heavy discounting and a sharp fall in oil prices at the end of 2008 were not repeated in December 2009.
The Office for National Statistics said consumer prices rose 0.6% last month, taking the annual rate up to 2.9% from 1.9% in November. The figure exceeded analysts' expectations for an increase to 2.6%.
The increase was mainly due to base effects from a series of one-off events that had depressed prices in December 2008 and were not repeated in December 2009, the ONS said.
The Bank of England targets inflation at 2% but has said it expects the measure to spike up temporarily early this year. Today's figures may cause some disquiet, however. The ONS said 10 out of 12 sub-sectors recorded higher prices, with the biggest upward contribution coming from transport and clothing and footwear.
Core CPI, which excludes food, energy, tobacco and alcohol, rose by 2.8% on the year - its fastest pace of growth since records began in January 1997.
