Sharp fall in inflation to 2.2%

INFLATION fell sharply last month, down 0.5% to 2.2%, according to official figures.

The Office for National Statistics said the largest contributions to the fall in the Consumer Prices Index rate came from transport, mainly petrol, and tuition fees.

The Retail Prices Index grew by 2.6%, down from 3.2% in September.

Phil Gooding from the ONS said falls in the cost of fuel – up to 5p per litre between September and October – had helped ease the rise in the cost of living.

The cost of domestic, European and long haul flights also fell month-on-month, he said, while the education sector was another major downward-driver, as the impact of the introduction of increased higher education tuition fees a year ago dissipated.

He described the fall as a “quite notable movement” and said it was the biggest jump downwards since April 2012, when the rate fell to 3% from 3.5% the previous year.

Mr Gooding said he expected the recent hikes in the cost of gas and electricity by four of the largest six providers, would start to filter through to the economy before the end of the year.