This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-30493967
The article has changed 6 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| UK inflation rate at 12-year low of 1% as fuel costs fall | |
| (35 minutes later) | |
| Cheaper fuel prices have pushed the UK's rate of inflation down to a 12-year low, official statistics show. | Cheaper fuel prices have pushed the UK's rate of inflation down to a 12-year low, official statistics show. |
| The Consumer Prices Index inflation measure - which covers the cost of basic household goods - fell to a rate of 1% in November from 1.3% in October. | The Consumer Prices Index inflation measure - which covers the cost of basic household goods - fell to a rate of 1% in November from 1.3% in October. |
| If inflation falls below 1% the Bank of England would have to write a letter of explanation to the chancellor. | If inflation falls below 1% the Bank of England would have to write a letter of explanation to the chancellor. |
| Inflation as measured by the Retail Prices Index fell to a five-year low of 2%, down from 2.3%. | Inflation as measured by the Retail Prices Index fell to a five-year low of 2%, down from 2.3%. |
| The Office for National Statistics said falling fuel prices, caused by the decline in global oil prices, have brought the costs of both road and air travel down, with petrol prices down 5.9% in November. | The Office for National Statistics said falling fuel prices, caused by the decline in global oil prices, have brought the costs of both road and air travel down, with petrol prices down 5.9% in November. |
| Additionally, food prices fell by 1.7%, helped by supermarket price wars. | |
| The Bank of England, which targets an inflation rate of 2%, warned last month that the rate could drop below 1% in the next six months. | |
| The lacklustre outlook means that the Bank is unlikely to raise interest rates from the historic low of 0.5% for some time. | |
| Falling inflation could also be of concern to investors, as the UK moves closer to the eurozone's situation of battling to avoid deflation. |