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UK Annual Inflation Falls to 2.7% in February

Published 20/03/2018, 09:30
© Reuters.  UK CPI rises 2.7% in February vs. 2.8% forecast

Investing.com - The annual rate of change in Britain's consumer price index fell to 2.7% last month the Office for National Statistics said on Tuesday.

This was compared to 3.0% in the previous month.

Economists had forecast a reading of 2.8%.

Month-over-month, consumer price inflation rose 0.4% in February.

That compared to a decline of 0.5% in January.

Analysts had expected a gain of 0.5%.

Core CPI, which excludes food, energy, alcohol, and tobacco costs, rose at a seasonally adjusted rate of 2.4% last month, below forecasts for 2.5%.

Core inflation advanced 2.7% in January.

Month-on-month, RPI increased by 0.8% in February, matching consensus.

RPI fell 0.8% in January.

Core RPI increased at an annualized rate of 3.6% in last month, lower than the 4.0% rise registered a month earlier.

Month-on-month, core RPI rose by 0.8% in February, compared to the 0.7% drop in the previous month.

The data also showed that the house price index rose 4.9% in February.

Economists had forecast a gain of 5.1%.

January’s data was revised down to a rise of 5.0% from an initial 5.2% gain.

The ONS indicated that the largest downward contributions to the change in the rate came from transport and food prices, which rose by less than a year ago, while falling prices for accommodation services also had a downward effect.

“Rising prices for footwear produced the largest, partially offsetting, upward contribution, ONS said in the report”.

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