The annual rate of consumer price inflation eased back to 4.6 per cent in September, its lowest annual rate in the year to date.

The 12-month rate of headline inflation, measured by the Consumer Price Index (CPI), decelerated to 4.6 per cent in September from 4.8 per cent in August and 5.0 per cent in July.

During the month of September, the average level of consumer prices increased by 0.3 per cent.

However, the underlying rate of inflation, which excludes mortgage interest and is measured by the Harmonised Index of Consumer Prices (HICP), accelerated sharply during September.

The annual rate climbed to 2.9 per cent last month from 2.3 per cent in the 12 months to August.

As a result, the inflation gap between Ireland and its trading partners in the euro area has now widened further.