Consumer prices will rise modestly in 2017-18, owing to higher food and fuel prices. However, economic weakness will prevent a marked upturn in consumer demand in 2017-18 and, combined with still-modest international oil prices, this will result in average inflation of 1.5% in 2017 and 1.9% in 2018. Prices have risen steadily in 2017 and spiked by 1.1% year on year in July, owing to elevated food prices and fuel costs. Price pressures will stabilise in the medium term as fuel, transport and communications costs return to normal, but food price increases will support modest inflation.