New inflation rate released

The new Consumer Price Index (CPI) for October has been released.
A fall of 0.7 per cent was registered on the index, with annual inflation now standing at 4.5 per cent.

This easing of price rises is expected to open the door to further interest rate cuts from the Bank of England.

In a bid to stimulate the economy, policymakers at the Bank cut the lending rate by 150 basis points earlier this month.

However, economists expect further reductions to follow over the months to come.

In a statement, the Office for National Statistics said that recent falls in wholesale commodities prices had resulted in the fall in CPI.

"The largest downward pressure on the CPI annual rate came from transport costs where the price of fuels and lubricants fell this year but rose last year," it said. "The decrease this year was triggered by a sharp fall in the price of crude oil."