Tuesday, November 15, 2011
Inflation edges down to 5%
Posted by David Smith at 11:00 AM
Category: Thoughts and responses

Not too much to write home about in the inflation numbers. Consumer price inflation edged down from 5.2% to 5%, while retail price inflation dropped from 5.6% to 5.4%. These remain high numbers.

According to the Office for National Statistics: "The largest downward pressures to the change in CPI annual inflation between September and October came from falls in the cost of food (due to significant and widespread discounting by supermarkets and good harvests for certain produce), air fares and petrol.

"The largest upward pressures to the change in CPI annual inflation between September and October came from increases in the cost of clothing, electricity and gas." More details here. Still a long way from the 2% target but at least moving in the right direction.