The rate of inflation in the UK as measured by the Consumer Prices Index rose slightly to 0.6% in July, according to the Office for National Statistics (ONS).

It is the highest rate since November 2014, despite the slight increase from 0.5% in June. Although CPI remains as historically low levels, it suggests that the period of extremely low inflation could be coming to an end. Inflation spent much of 2015 hovering around zero, sometimes falling into negative territory.

The ONS said rises in petrol prices, alcohol prices and the cost of accommodation services were the main contributors in the increase. But a smaller fall in food prices than last year also had an effect.

Meanwhile, inflation as measured by the Retail Prices Index (RPI), hit 1.9%, up from 1.6% in June. July's RPI figure determines how much regulated rail fares can rise in January in England, Scotland and Wales.

Jeremy Cook, chief economist at World First, said: "As the pound falls, prices will rise; we are an island after all. While GDP has been revised lower by economists and the Bank of England since Brexit, inflation has naturally been revised higher on the basis of a weaker sterling.

"If our calls of GBPUSD coming lower to 1.22 by the end of the year are correct, then inflation will spike above 2.5% next year. But calendar effects should allow the Bank of England t keep its foot on the stimulus pedals, especially if it is to be believed that the inflation target is no longer as important as growth, jobs and financial stability."

Separate figures from the ONS show the vote to leave the European Union, and the subsequent fall in the value of the pound had raised import costs for manufacturers. In the year to June, input prices for manufacturing firms were down 0.5%, but fast forward a month and there was an annual increase of 4.3%.

Mike Prestwood, head of prices at the ONS, said: "There was no obvious impact on today's consumer prices figures following the EU referendum results though the Producer Prices Index suggests the fall in the exchange rate is beginning to push up import prices faced by manufacturers."