Inflation falls for third consecutive month
The latest inflation figures published today showed the third consecutive fall in the annual rate of increase in prices, from 10.5% to 10.1%.
Obviously this is a reduction in the rate of increase in prices, not an actual fall in prices, and the rate of inflation is still far too high. We cannot afford any complacency about inflation or risk allowing a wage-price spiral, such as the one in the 1970's which saw inflation reach nearly 30%, to take off.
That is why the government is right to make halving inflation within the next 12 months a key priority.