UK inflation data to reveal whether price rises are continuing to slow – business live

Show key events only Please turn on JavaScript to use this feature Live feed From 5m ago 02. 01 EST UK inflation slows more than expected to 3. 9% Inflation in the UK slowed more than expected last month.

The annual inflation rate fell to 3. 9% from 4. 6% in October, the lowest since 2021, the Office for National Statistics said.

Analysts had expected a reading of 4. 4%. In the year to November 2023: ▪️ Consumer Prices Index including owner occupiers’ housing costs rose by 4.

2%, down from 4. 7% in October ▪️ Consumer Prices Index (CPI) rose by 3. 9%, down from 4.

6% in October ➡️ https://t. co/RZCLXrRVqp pic. twitter.

com/NA7C8hnrHY — Office for National Statistics (ONS) (@ONS) December 20, 2023 Updated at 02. 04 EST Key events 5m ago UK inflation slows more than expected to 3. 9% 13m ago UK inflation data to show whether cost of living crisis is easing 1m ago 02.

05 EST Here is our first take on the surprising large fall in inflation: UK inflation falls to 3. 9% as cost of living crisis eases Read more 5m ago 02. 01 EST UK inflation slows more than expected to 3.

9% Inflation in the UK slowed more than expected last month. The annual inflation rate fell to 3. 9% from 4.

6% in October, the lowest since 2021, the Office for National Statistics said. Analysts had expected a reading of 4. 4%.

In the year to November 2023: ▪️ Consumer Prices Index including owner occupiers’ housing costs rose by 4. 2%, down from 4. 7% in October ▪️ Consumer Prices Index (CPI) rose by 3.

9%, down from 4. 6% in October ➡️ https://t. co/RZCLXrRVqp pic.

twitter. com/NA7C8hnrHY — Office for National Statistics (ONS) (@ONS) December 20, 2023 Updated at 02. 04 EST 13m ago 01.

53 EST UK inflation data to show whether cost of living crisis is easing Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy. The latest inflation data will shed some light on whether Britain’s cost of living crisis is easing. UK inflation is expected to have slowed to an annual rate of 4.

4% in November, from 4. 6% in October, according to analysts’ forecasts. The Office for National Statistics will release the figures at 7am GMT.

Core inflation, which strips out volatile items like food and energy, is forecast to have dipped to 5. 6% from 5. 7%.

In October, consumer price inflation fell sharply from 6. 7% to 4. 6%, reflecting a monthly fall in gas and electricity costs this year whereas last year there was a steep rise, but prices for food, other goods, and services all eased back too.

Sandra Horsfield, UK economist at Investec, explained: That said, declaring victory over inflation remains a more remote prospect in the UK than in the US or indeed the eurozone, both of which are visibly closer to target inflation, with lower ‘core’ inflation too. The pain this entails for households is clear, which the Bank of England is all too aware of. This month, we expect to see further evidence that inflation is heading back down again.

But that progress is likely to be fairly gradual. Food and energy price inflation is likely to have contributed again – the latter this time because of falling petrol prices, not due to changes in utility bills, which are adjusted only quarterly. We also see scope for inflation for certain goods prices to keep easing: certainly, producer price inflation figures suggests there is plenty of scope for this in the months to come.

But it is not uniform; base effects in clothing and footwear prices, for instance, look unfavourable, as there was already a large drop last year. Still, ‘core’ prices for goods and also services actually reflect some energy costs too, where these are embedded into production costs. It is therefore likely that the significant retracement in wholesale energy costs, even if to historically still fairly high levels, is helping to push core inflation down too.

For the Bank of England, the downtrend trend in inflation is likely to be perceived as too gradual to allow for rate cuts in the very near term, especially considering the jobs market still looks reasonably robust. We continue to expect a first move down in interest rates only in August 2024. The Agenda 3pm GMT: US Conference Board consumer confidence for December Explore more on these topics Business Business live Inflation Economics Currencies Stock markets Reuse this content.