UK Inflation Slips to Its Quietest Point in Two Years
What the numbers really say: The Consumer Prices Index (CPI) dropped off its high‑speed curve to 4.6 % in October, giving the UK a welcome breathing space after a daunting 6.7 % spike in September. It’s the lowest inflation reading we’ve seen in a whole couple of years.
Energy’s New Low‑Profile Role
We’re still talking about the energy boom of 2022, but this year Ofgem moved the price ceiling down from £2,500 to a more manageable £1,834. That shift has sent household bills through a dip that’s played knock‑on effects across the economy — from grocery aisles to our daily commute.
Political Voices in the Noise
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Prime Minister Rishi Sunak says he set a goal to halve inflation this year and claims that’s “the best way” to give families breathing room. He’s proud that, according to him, the pledge is “gone through.”
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Shadow Chancellor Rachel Reeves, on the other hand, voices skepticism. She’s arguing that the country’s stuck in a slump: mortgages are higher, shop prices keep climbing, and inflation still hits double the bank’s target.
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Suren Thiru, the economics chair at the Institute of Chartered Accountants, notes that while the government has hit the headline target, the real driver is “downward pressure from falling energy costs and rising interest rates.”
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Grant Fitzner, ONS’s chief economist, breaks down the month’s moves: energy had caught a small fall after last year’s steep rise, food prices stayed steady, and hotels fell — all nudging the overall CPI lower. Meanwhile, factories saw a small uptick in goods prices, yet the yearly trend still figures a slight negative rise thanks to crude petroleum and basic metal downturns.
What This Means for Your Every‑Day
Imagine your grocery bill: a handful of items are staying flat, others are slipping, and your energy bill has finally gotten a break. That’s the world the numbers are painting. It’s a sign that while the economy isn’t breathing in full ease, the worst of the price shock is easing, giving households a chance to breathe again.
Side‑by‑Side: Incoming vs. Outgoing Prices
- Energy: ↓ – 2022 peak → 2023 cap shift
- Food: Steady – No major month‑to‑month jump
- Hotels: ↓ – helping overall inflation drop
- Manufactured Goods: Slight ↑ – but overall mild decline in yearly growth
Bottom line: Inflation’s on a downward path but the journey isn’t over. The underline remains that if you’re looking out of your window and seeing your bank account begin to grow more at a time than at a rate, you’re in the right place. The UK is sliding down the inflation hill — hopefully toward smoother, gentler slopes that benefit everyday plans.
