Inflation 2.8% in February – Guido Fawkes

Inflation 2.8% in February

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It’s better news for Reeves as she prepares for her Spring Statement today. The consumer prices index (CPI) rose by 2.8% in the 12 months to February, down from 3% in January. According to the ONS, clothing prices were the biggest driver of the dip. Better than expected, though still above the Bank of England’s 2% target again…

Still, Paul Dales of Capital Economics warned the latest drop in inflation is “a bit of a red herring” ahead of a surge in energy and water bills, which are expected to push CPI back to 3% in April. Shadow chancellor Mel Stride said “We left Labour with inflation bang on target. But since their no-strings-attached union payouts, record tax rises and borrowing splurge, they have pushed up the cost of living.” Meanwhile, Reeves is expected to reveal slashed growth forecasts today. ‘A changing world’…