Inflation slides
UK inflation fell sharply in December on the back of lower fuel and clothing prices. The CPI inflation index fell to 4.2%, down from 4.8% in November. RPI inflation fell to 4.8% from 5.2%. Economists predicted the fall would necessitate another round of quantitative easing from the Bank of England. Nida Ali from the E&Y Item Club, said: “We expect CPI inflation to be at the 2 per cent target by this autumn.”
Source: BBC News Website
Posted on 18 Jan 2012
