Annual inflation in Britain fell to 4.6 percent in October. This is the lowest level in two years.
The information was provided on Wednesday by the ONS statistics agency. The decline in price growth, which amounted to 6.7 percent year-on-year in September, is greater than analysts expected. They predicted that inflation levels would fall to 4.8%.
Inflation in Great Britain
The statistics office wrote that the decline in inflation was mainly due to energy prices; Since October, the maximum ceiling for standard energy bills that individual consumers pay has been lowered.
In October 2022, energy prices rose dramatically due to the war in Ukraine and Western sanctions against Russia. The impact of energy prices on the decline in inflation is reflected in core inflation, i.e. excluding energy and food, which fell to a lesser extent – from 6.1 percent. in September to 5.7 percent in October.
Record level
In October 2022, annual inflation reached a 41-year high of 11.1 percent. In April 2022, British inflation reached its highest annual level since 1982. The Bank of England then decided to further increase interest rates.
Consumer price inflation then stood at 9%, the Office of National Statistics reported on Wednesday, surpassing recession-era peaks of the early 1990s.
At the time, Britain had the highest inflation of Europe’s largest economies. In April, the official inflation level in the eurozone was as high as 7.5%, a record level since the introduction of the single currency in 1999.
Source: Do Rzeczy
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
