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Key measure of inflation rises 0.4%

By admin
Created 17/11/2009 - 12:35
The Consumer Prices Index, a key measure of inflation, has risen for the first time since February, according to the Office for National Statistics.

The Consumer Prices Index (CPI) climbed to 1.5% in October, up from 1.1% in September. The Retail Prices Index (RPI) inflation measure, which includes mortgage interest payments and housing costs also rose, from -1.4% to -0.8%.

Inflation accelerated mainly because fuel prices declined significantly less than they did in the same period a year ago.

Although CPI is still below the Bank of England's 2% target, the figure is slightly above the 1.4% expected by many economic analysts.

The Bank expects inflation to rise further above the target in the months ahead, particularly when the temporary cut in VAT is reversed in January.




Source URL:
https://www.newbusiness.co.uk/news/key-measure-inflation-rises-04