THE headline rate of inflation dropped away in October to 5%.

The fall in the annual CPI rate, from 5.2% in September, will be seen as vindication for forecasts that inflation is set to fall away significantly over the next year.

The target for CPI inflation is 2% but despite it remaining stubbornly high in recent months, concerns about the strength of the economic recovery has led the Bank of England's Monetary Policy Committee to focus on encouraging growth.

According to the Office for National Statistics, s......for the full story register now for free or login below...