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Inflation in the UK in March slowed to the lowest since September 2021


Avril, 17 2024
watermark Economic news

According to a report by the National Statistical Office of the United Kingdom, consumer prices increased by 3.2% in March compared to the same period last year. This figure exceeded the expectations of analysts, who had expected growth of 3.1%.


It should be noted that inflation in March was at the lowest level since September 2021 and decreased compared to February of this year, when it was 3.4%. On a monthly basis, prices increased by 0.6%, the same as in the previous month.


Core inflation (excluding the cost of food, alcohol, tobacco and energy, CPI Core index) increased by 4.2% y/y in March and by 0.6% on a monthly basis. In the previous month, these figures were 4.5% and 0.6%, respectively.


The retail price Appreciation Index (RPI) slowed to 4.3% in March compared to February, when it was 4.5%. This index is used by British employers when negotiating salaries. The difference in the dynamics of the CPI and RPI indices is due to the consideration of housing costs in the RPI, as well as the different weight of air fares, insurance and gasoline prices.


On a monthly basis, the RPI index increased by 0.5% compared to February, when there was an increase of 0.8%.


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