UK inflation fell more than expected in October to 4.6%, the lowest in two years
Shoppers pass by on the high street in Whitstable, UK.
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LONDON – UK inflation fell sharply in October to 4.6% from 6.7% the previous month, hitting a two-year low.
The core consumer price index was flat on a monthly basis. Economists polled by Reuters had expected the core CPI to rise 4.8% year-on-year and 0.1% from the previous month.
Headline CPI – which excludes volatile food, energy, alcohol and tobacco prices – fell to 5.7% annualized in October from 6.1% in September.
The biggest contributor to the decline came from housing and housing services, the Office for National Statistics revealed, where the annual rate for CPI hit the lowest level since records began in January 1950.
Food and non-alcoholic beverages also contributed to the easing of inflation, with the annual rate falling to the lowest since June 2022.