Member Article

Inflation falls to 5% in October

Inflation fell in October to 5%, according to new figures from the Consumer Price Index.

This figure is down from 5.2% in September, has been attributed to downward pressures from reductions in food prices, airfares and petrol.

These figures were offset by upward pressures from clothing, electricity and gas.

The Retail Prices Index was also down to 5.4% from 5.6% in September, with downward pressures coming from falls in food and petrol costs.

John Dance at Vertem Asset Management commented: “The numbers are just below expectations and although the headline figure remains relatively high we believe inflation has peaked, much of the price rises contributing to today’s annual figure came during the first 6 months of the period.

:Although energy prices have risen in recent months we expect inflation to be nearer 3% in about 6 months or so.“

This was posted in Bdaily's Members' News section by Ruth Mitchell .