Thursday July 31, 2014


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UK inflation stays at 2.7 per cent in December for third consecutive month

LONDON - Official statistics show that consumer price inflation held steady at 2.7 per cent in December, in line with market expectations.

The Office for National Statistics said higher prices for electricity and gas were offset by lower costs for air travel.

The government's official inflation target is around 2 per cent. The consumer price inflation rate has held at 2.7 per cent since October.

Howard Archer, chief European economist at IHS Global Insight, says that rising costs for food and energy could push the rate to around 3 per cent in the first half of this year.


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