In a surprising turn of events, UK inflation fell to 1.7% for the year leading up to September, marking the lowest rate observed over three years, according to official data released by the Office for National Statistics (ONS) on Wednesday 16th October. This decline was primarily driven by reduced airfares and petrol prices, which surpassed many economists’ predictions. This unexpected fall places inflation below the Bank of England’s 2% target.
Many have welcomed the news, with Darren Jones, the Chief Secretary to the Treasury, stating that the decline in price rises is “welcome news for millions of families.” Despite this positive development, Jones emphasised the necessity of continued efforts to protect working individuals, highlighting the government’s focus on rejuvenating economic growth and ensuring stability. The September inflation figure traditionally plays a crucial role in determining the rise of most benefits for the following April.