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Consumer Price Inflation Summary, April 2013

Released: 21 May 2013 Download PDF

CPI Percentage change over 10 years

United Kingdom

CPI Percentage change over 10 years
Source: Office for National Statistics

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The headline rate of inflation fell in April. The Consumer Prices Index (CPI) showed that prices grew by 2.4% in the year to April 2013 – down from 2.8% in the year to March. This is the first time that the growth in inflation has slowed in the last six months, during which time inflation has remained fairly stable.

A fall in the price of petrol and diesel, plus a drop in air fares were by far the largest contributors to the fall in inflation. There were comparatively modest downward contributions from most other sectors, notably from price movements for restaurants & hotels, recreation & culture goods and services and housing costs (including energy costs). The only notable upward contribution came from the food and non-alcoholic drinks sector, where overall price increases for most foodstuffs (notably vegetables where there have been numerous recoveries of prices following sales and reports of cold weather in the UK impacting on crop production) were partially counterbalanced from price falls for non-alcoholic drinks.

Taking a longer term view, the three main contributors to the 12-month inflation rate in the last five years have been food and non-alcoholic beverages, housing costs (including gas and electricity charges) and transport costs (including motor fuels). Combined, these three sectors have, on average, accounted for over half of the of the 12-month inflation rate each month.

CPIH, the new measure of consumer price inflation including owner occupiers’ housing costs, grew by 2.2% in the year to April 2013, down from 2.6% in March. The slower growth in CPIH than CPI is due principally to owner occupiers’ housing costs increasing more slowly than overall inflation for other consumer goods and services in the year to April.

Source: Office for National Statistics

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