Inflation in Singapore eased to 1.6 per cent last month from 2 per cent in August, due to a slide in car costs.

Private road transport costs slid 2 per cent after inching up 0.1 per cent the previous month, data from the Singapore Department of Statistics showed on Wednesday.

The correction in car prices was due to the high base a year ago, and more than offset the rise in petrol pump prices, said the Monetary Authority of Singapore (MAS) and Trade and Industry Ministry (MTI).

Accommodation costs soared 3.9 per cent, slightly lower than the 4.2 per cent surge in August, due to a smaller increase in rentals for both private and HDB properties.

Services inflation was stable at 2.7 per cent, as a pickup in recreation and entertainment costs and holiday travel was offset by lower contributions from education and household services fees.

Food inflation came in at 2.4 per cent in September, similar to the preceding month.

Core inflation, which excludes accommodation and private road transport prices, eased to 1.7 per cent last month from 1.8 per cent in August.