UK annual inflation has fallen in June as the Consumer Prices Index (CPI) dropped to 1.8% from 2.2% in May and The Retail Prices Index (RPI) slowed to -1.6% from -1.1%, according to the Office for National Statistics (ONS).

This is the first time since September 2007 that the CPI has fallen below the Bank of England's target of 2%.

The RPI - a key inflation figure that includes mortgage interest payments and housing costs - is now at its lowest point since the ONS began records in 1948.