Inflation falls to lowest level for two years

The rate of inflation has fallen to its lowest level since November 2021.

In the year to October 2023 prices rose by 4.6%, the Office for National Statistics (ONS) said this morning – down from 6.7% in September

The fall was driven by a drop of the cost of raw materials, which fell by 2.6%.

ONS chief economist Grant Fitzner said: “Inflation fell substantially on the month as last year’s steep rise in energy costs has been followed by a small reduction in the energy price cap this year.

“Food prices were little changed on the month, after risin this time last year, while hotel prices fell – both helping to push inflation to its lowest rate for two years.

“The cost of goods leaving factories rose on the month. However, the annual growth was slightly negative, led by petroleum and basic metal products.”