Labour Research May 2006

News

Inflation drops to 1.8%

Cheaper food and non-alcoholic drink was more than enough to offset an increase in domestic energy bills to cut inflation in March. The Consumer Prices Index (CPI), which excludes housing costs and is the government’s preferred measure, fell to 1.8% from 2.0% in February. Inflation under the Retail Prices Index (RPI) was steady at 2.4%.