United Kingdom: Inflation declines to lowest level since August in November
Consumer prices dropped a seasonally-adjusted 0.15% in November over the previous month, which was below October’s flat reading. November’s result marked the sharpest fall in prices since August. Looking at the details of the release, prices for recreation and culture increased in November, although prices for transportation dropped after growing in the previous month. Moreover, clothing prices plummeted, likely driven in part by Black Friday discounting by stores.
Inflation dropped to 0.3% in November, from October’s 0.7%, and moving further below the Bank of England’s 2.0% target. November’s reading marked the lowest inflation rate since August. Annual average inflation edged down to 0.9% in November (October: 1.0%). Core inflation fell to 1.1% from October’s 1.5%.