United Kingdom: Annual consumer prices fall for the first time since 1960
May 19, 2015
In April, consumer prices rose 0.2% over the previous month, which matched March’s result. The figure reflected that higher prices for motor fuels and food more than offset lower prices for gas and clothing.
Consumer prices fell 0.1% over the same month of last year, which was down from the flat reading observed in March. This is the first time that annual consumer prices fall since 1960. April’s drop was below the flat reading expected by the markets. Annual average inflation fell from 1.1% in March to 0.9% in April, thus marking the lowest reading since April 2001.
Author: Dirina Mançellari, Senior Economist