The rate of inflation fell in July, helped by lower food price growth.
The moderation of inflation provides hope that the cost-of-living crisis, which has hit consumer spending power, may have passed its peak.
The consumer prices index rate of inflation rose was 6.8% in the 12 months to July, the Office for National Statistics (ONS) reported. That was down from 7.9% in June.
Falling gas and electricity prices were the biggest contributors to the lower rate of inflation. However, the ONS also said: “Food prices rose in July 2023 but by less than in July 2022, also leading to an easing in the annual inflation rates.
“There were notable downward effects from food and non-alcoholic beverages, particularly from milk, bread and cereals.”
Food and non-alcoholic beverage prices inched up 0.1% between June and July, compared with a rise of 2.3% a year ago.
The ONS said: “This resulted in an easing in the annual rate to 14.9% in July 2023, the slowest annual rate of growth since September 2022. This is down from 17.4% in June and from a recent high of 19.2% in March, which was the highest annual rate seen for over 45 years.”
No comments yet