BUSINESS CLOSE: FTSE 100 posts modest gain; BofE names new chief economist; House prices rise 11%; BRC warns food prices will increase
- FTSE 100 trimmed gains but still closed up 30.14 points at 7149.84
- FTSE 250 up 0.6% to 24,250 after hitting another intraday record high at 24,290
- The average cost of a home jumped by nearly £5k in a month, Nationwide said
- Concerns mount over prospect of higher food prices, BRC has warned
- New E10 petrol is now available at forecourts across the country
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The FTSE 100 managed to hold on to some earlier gains, while the FTSE 250 ended higher after hitting another intraday record high.
Property price growth recorded a ‘surprising’ bounceback in August as average values leapt by nearly £5,000 in the space of a month, according to Nationwide.
Across the UK, the average house price in August was £248,857, which is 11 per cent higher than a year earlier.
The average house price in August was £4,628 higher than in July, when it stood at £244,229.
Meanwhile, food retailers are fighting to keep their prices down but are coming under pressure from ‘rising commodity and shipping costs as well as Brexit-related red tape’, experts at the British Retail Consortium said today.
The HGV driver shortage has created an additional problem with a shortfall of 90,000 drivers, it added.
Shoppers saw the fall in shop prices slow down over the past month, increasing the prospect of inflation, according to the BRC’s new figures.
A new form of petrol is being introduced at filling stations across Britain from today.
E10 petrol, which is made with up to 10 per cent bioethanol – a type of renewable fuel – will be the standard offering at forecourts as part of Government plans to cut carbon emissions.