By Daniel Hunter

Businesses in Greater Birmingham have called for urgent measures to bring down inflation, which has soared to 2.9% from 2.7% in the previous month.

Birmingham Chamber of Commerce Group (BCCG) said the increase was not a surprise. The expectation was that it would rise higher and was blamed largely on fuel costs. A rise in clothing and footwear costs are also to blame.

Steve Brittan, president of Birmingham Chamber, said: "Further stabilisation of the inflation rate is needed for businesses to build confidence.

"Runaway prices can stifle investment plans and the two per cent inflation target set by the Monetary Policy Committee is escaping us. Rising inflation, coupled with slow economic growth and high employment, is a deadly combination for business. Even minor price rises can harm business confidence."

Join us on
Follow @freshbusiness