AndThis sharp decline brings inflation closer to the 2% target set by the Bank of England.
The decline is due to lower prices for gas and electricity, as well as household goods and furniture, despite higher fuel prices, according to the Office for National Statistics.
Grant Fitzner, head of economics at the ONS, said there had been another “sharp fall” in inflation due to “falling electricity and gas prices”, while food prices also continued to fall.
A Treasury spokesman said the government “correctly protected millions of jobs during the pandemic and paid half of people’s energy bills after (Russian President Vladimir) Putin’s invasion of Ukraine sent bills soaring.”
“The economy is heading towards a turnaround, with strong growth this quarter and inflation close to target, allowing us to reduce taxes,” he added.
Inflation continues its downward trend after rising to more than 11% in 2022, following a rise in energy prices due to the Russian invasion of Ukraine.
The Bank of England is expected to start cutting interest rates this year, which currently stand at 5.25%, the highest level since 2008.
Read also: Oxford Economics expects a new increase in interest rates for the National Bank of Angola
Download our free app.
Consumer’s Choice for the eighth consecutive year in online journalism and the 2024 Producer of the Year.
*Study by e Netsonda, November. And ten. Product of the Year 2023 – pt.com
Emily Brontë is a journalist and feature writer specialising in culture, entertainment, literature, and current affairs. She is dedicated to producing clear, accurate reporting that helps readers stay informed about developments in the UK and around the world.
