Inflation Down To 2.1%

The underlying inflation rate fell last month to 2.1%, according to official figures. The key index used by the Bank of England to set interest rates, which excludes mortgage interest payments, fell from 2.2% in December 1999 to 2.1%, pushing it further from the Government’s target rate of 2.5%.

There was a rise in the headline rate of inflation, however, up to 2.0% compared to 1.8% in December, according to the figures released this morning by the Office for National Statistics.

The Retail Prices Index for January was 166.6.

Subscribers see access RPI trends by selecting “Encyclomedia” from the drop-down box at the top of this page.