UK inflation dropped back below 10% in April but didn’t fall as sharply as economists were expecting, and one crucial measure of prices rose further to hit a 31-year high.
Consumer prices rose 8.7% last month compared with a year ago, down from 10.1% in March, the Office for National Statistics said Wednesday. Economists had forecast an annual rate of 8.2%, according to a Reuters poll.
“The rate of inflation fell notably as the large energy price rises seen last year were not repeated this April, but was offset partially by increases in the cost of second-hand cars and cigarettes,” ONS chief economist Grant Fitzner said in a statement.
“However, prices in general remain substantially higher than they were this time last year, with annual food price inflation near historic highs.”