PRESSURE MOUNTS ON BANK OF ENGLAND TO LOWER INTEREST RATE – BRC says prices falling at fastest rate and are 0.8% lower than a year ago
Food inflation slowed to 1.9% in October, down from 2.3% in September. This is above the 3-month average rate of 2.1%.
Shop Price deflation was at 0.8% in October, down from deflation of 0.6% in the previous month.
This is below the 3-month average rate of -0.6%. Shop price annual growth was at its lowest rate since August 2021.
The lower rate of inflation of 1.7% mounts pressure on the Governor of the Bank of England to lower the bank’s interest rate currently standing at 5%. The target inflation rate is 2%
“October saw shop prices fall marginally further into deflation for the third consecutive month, Helen Dickinson OBE, Chief Executive of the BRC, said:.
“Food inflation eased, particularly for meat, fish and tea as well as chocolate and sweets as retailers treated customers to season deals”, she added
