United Kingdom: Inflation remains stable in March
April 16, 2013
In March, consumer prices rose 0.3% over the previous month. The reading came in below the 0.7% increase seen in February and was just in line with market expectations. Higher prices for clothing and footwear as well as for transport offset lower prices for food and non-alcoholic beverages.
Annual headline inflation remained stable at the 2.8% recorded in February, which represents the highest rate in 11 months. As a result, annual average inflation was also unchanged over the previous month at 2.7%.
In its latest inflation report from February, the Bank of England expects inflation to average 3.0% in 2013, before moderating to 2.7% in 2014. FocusEconomics Consensus Forecast panellists expect inflation to average 2.8% in 2013, which is up 0.2 percentage points from last month's forecast. For next year, the panel forecasts inflation to average 2.5%.