Tuesday, November 17, 2009
Inflation up to 1.5% - as expected
Posted by David Smith at 10:15 AM
Category: Thoughts and responses

Consumer price inflation rose to 1.5% in October, from its low of 1.1% in September. Retail price deflation eased from 1.4% to 0.8%, while RPIX inflation was up from 1.3% to 1.9%. The base effects that were so helpful in the past few months are now turning. The biggest will be the rise in VAT back to 17.5% in January. The figures have no implications for policy, however, given that the Bank of England has said it will look through this rise. More details here.