Official data showed that Inflation Annual consumer prices in Britain fell to a lower than expected level of 4.6% last October, after reaching 6.7% last September. The increase in consumer prices was the smallest since October 2021.
Consumer goods prices fell more than expected thanks to lower energy bills, according to official data shown on Wednesday, easing the cost of living crisis and putting pressure on Prime Minister Rishi Sunak.
The expectations of the Bank of England and the opinions of economists in a Reuters poll indicated an inflation rate of 4.8%.
Core inflation, which excludes energy and food prices, fell to 5.7% from 6.1%, while inflation in the services sector also fell by more than the central bank’s expectations to 6.6% from 6.9%.
These data represent positive news for Prime Minister Rishi Sunak, who promised to halve price increases this year before elections expected in 2024, which opinion polls indicate that the Conservative Party he heads is likely to lose.
Sunak said in a statement, “The official figures confirm that we have reduced inflation by half, which is a fulfillment of the first of the five priorities that I set at the beginning of the year.”
He continued, “But, while the news that prices are no longer rising so quickly is welcome, we know that many people are still suffering, which is the reason that drives us to stay on track to continue reducing inflation to 2%,” referring to the target set by the bank. England.
Sunak considered reducing inflation to be a fulfillment of one of the most important priorities he promised (French)
interest rates
Annual inflation in the UK reached a 41-year high of 11.1% in October 2022, driven by rising energy prices after Russia’s war on Ukraine.
Analysts indicated that the significant decline in the annual inflation rate could prompt Finance Minister Jeremy Hunt to cut taxes in his latest budget announcement next week.
They attributed the decline in inflation in the United Kingdom since the beginning of the year, after it recorded the highest level in decades, to the Bank of England raising the…interest rates The decline in global energy prices.
Although UK wages are rising faster than inflation, partly due to widespread strikes, millions of Britons are still struggling to pay bills.
Despite the significant decline in inflation last month, Britain is witnessing the highest rate of consumer price growth among Group of Seven countries largest, it is slightly higher than the rate in France of 4.5%.
2023-11-15 15:44:35
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