The Bank of England's target rate of inflation jumped to its highest rate since records began in January 1997, official figures showed.
The office of National Statistics said the annual consumer price index (CPI) inflation rate rose by 2.7 per cent in November, higher than the 2.4 per cent recorded in October and above analysts' expectations for a more modest rise to 2.6 per cent.
The statistics office said the biggest upward effect on prices came from transport costs, where fuel prices fell this year by less than a year ago.
Significant upward effects also came from air travel and utility bills, as well as from recreation and culture, particularly prices of digital cameras and package holidays.
Small downward effects came from miscellaneous goods and services, particularly financial services, and alcoholic beverages, NS said.
The jump in inflation may well concern UK rate-setters, particularly as the CPI annual rate has now been above the Bank of England's 2 per cent target rate for seven consecutive months, and is likely to increase expectations that interest rates will rise further early in 2007.
The bank raised interest rates to a five-year high of 5 per cent in November, but many in the market expect a further rate increase next year, probably in February, in order to stem inflationary pressures.