Consumer Inflation falls slightly to 10.1 per cent driven by a fall in fuel prices but decline is limited by an increase in the cost of booze
The rate of Consumer Prices Index inflation fell to 10.1 per cent in January from 10.5 per cent in December, the Office for National Statistics said.
Falling petrol and diesel prices contributed to the slight decline, the ONS said. But the cut in fuel costs was offset by a surge in the price of alcoholic drinks and cigarettes’.
The small decline comes as Chancellor Jeremy Hunt prepares his Budget next month, with cutting inflation the key driver of planned changes.
Mr Hunt said: ‘While any fall in inflation is welcome, the fight is far from over.
‘High inflation strangles growth and causes pain for families and businesses – that’s why we must stick to the plan halve inflation this year, reduce debt and grow the economy.’
