HIGH oil prices have pushed manufacturers' raw material costs up by the highest annual rate for nearly two years.

The Office for National Statistics (ONS) said input prices rose 5.9 per cent in the 12 months to February, with the figure up 1.4 per cent in January. Crude oil prices, which firms have seen rise by 45 per cent since February of last year, were largely to blame for the increase, the ONS said.

The same factor also caused the cost of goods leaving UK factories during the month to rise by their fastest annual pace since January 2001.