UK inflation unchanged in January as food prices fall for first time since 2021
manchestereveningnews.co.ukThe rate of inflation remained unchanged at 4.0% last month despite economists forecasting it would rise, the Office for National Statistics has said.
The ONS said food prices fell on a monthly basis for the first time since September 2021, and the largest downward push on inflation came from furniture and household goods.
However, inflation still remains well above the Bank of England's 2.0% target. ONS chief economist Grant Fitzner said: "Inflation was unchanged in January, reflecting counteracting effects within the basket of goods and services." "The price of gas and electricity rose at a higher rate than this time last year due to the increase in the energy price cap, while the cost of second-hand cars went up for the first time since May." "Offsetting these, prices of furniture and household goods decreased by more than a year ago and food prices fell on the month for the first time in over two years." "All of these factors combined resulted in no change to the headline rate this month."
Read more on manchestereveningnews.co.uk