UK Inflation falls for the first time in 6 months

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Leading UK personal finance comparison website, compareandsave.com, offers insights into how the latest inflations figures might impact UK consumers.

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UK inflation falls

food price inflation could start to become a political issue for cash strapped Brits

According to the Office for National Statistics UK inflation fell to 2.4% in April 2013, down almost half of one percent (0.4%) from March (2.8%).

It’s the first time that the Consumer Prices Index (CPI) has fallen in 6 months (since Sept 2012), but prices have not dropped universally. The ONS confirmed that poor weather had continued to hamper food production, resulting in food prices marching upwards - Indeed, UK food prices have risen by 40% since 2007.

Fortunately for British consumers the cumulative effect of lower fuel prices (UK average petrol and diesel prices fell by 2.1p and 3.9p a litre respectively) and cheaper air fares more than offset inflation elsewhere in the economy.

A spokesperson for leading personal finance comparison website, compareandsave.com, commented:

“Today’s news will certainly be welcomed by British consumers, but it really emphasises some worrying underlying trends. Assuming the UK government’s stated inflation target of 2% had been achieved since 2007 we would expect food prices to have gone up by around 12.5%.

It won’t surprise UK families that prices have actually increased by 40%, over 3 times what we might have hoped for, but if they continue to increase at the same rate food price inflation could start to become a political issue for cash strapped Brits.”

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Notes to Editors:

compareandsave.com is one of the UK’s leading personal finance comparison websites. Based in Colchester, Essex, compareandsave.com has been helping UK consumers get a better deal on credit cards, saving, loans and more for over five years.

For more information, please contact Mark Scott on 0207 195 1914

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Mark Scott
Freedom Marketing Limited
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