Inflation in the eurozone rose to 4.9 per cent in November, a record high since the single currency was created more than two decades ago, prompting policymakers and economists to warn that price pressures are likely to persist for longer than expected.

Driven by soaring energy prices, the increase in eurozone inflation — as measured by the harmonised index of consumer prices — outstripped the 4.5 per cent expected on average by economists polled by Reuters. The rise is likely to put more pressure on the European Central Bank to reduce its monetary stimulus.

Some investors said the ECB seemed too relaxed about rising prices. “It may be wishful thinking on the part of ECB president [Christine] Lagarde when she declares that price pressures won’t run out of control — they already are and it’s difficult to follow the argument that it will abate soon,” said Charles Hepworth, investment director at GAM Investments.