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UK inflation falls back to zero

14 Jul 2015

Prices of clothing and food were the main reason behind the fall, along with smaller rises in air fares compared to a year ago

If you are wondering, the main price falls were for bread, cereals, sugar, jam, syrups, chocolate and bags of sweets, and air fares for European routes

Motor fuels and audio/visual equipment are also cheaper, but were offset by rises in the costs of eating out, hotel services and rents

Since the mandate for the Monetary Policy Committee (MPC) is to deliver an inflation rate of 2% over the medium term, interest rate rises are unlikely for the next few months....

For the full Office for National Statistics (ONS) release see here

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