Inflation slips in February
Wednesday, 24 March 2010 10:03
By myfinances.co.uk staff
Last month saw the first drop in the annual rate of inflation since September as the cost of living eased for consumers, according to the Office for National Statistics (ONS).
The yearly CPI rate was three per cent in February, down from 3.5 per cent the month before.
However, it remained above December's figure of 2.9 per cent and was double the 1.5 per cent recorded last October.
The main downward pressure on prices came from recreation and culture during February, with the cost of games, toys and hobbies experiencing widespread declines after rising in the corresponding period of last year.
Fuel prices were another major contributor to the downward effect, as they increased by 0.8 per cent last month, compared to a 3.3 per cent rise between January and February 2009.
Clothing and footwear prices provided the main upward pressure on the index, the ONS said.
According to the Alliance Trust Research Centre, consumers aged 50 to 64 face the highest rate of inflation, with their cost of living typically rising by 4.5 per cent a year - 50 per cent higher than the headline rate.
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