Headline Inflation Back Below Double Figures, Falling to 8.7%, Core Inflation Rises mdi-fullscreen

Whilst Rishi Sunak faces a rough ride from his backbenchers over Suella’s future and the latest instalment of the Partygate saga, new inflation figures will provide him some welcome relief ahead of PMQs. Today’s release from the ONS puts inflation in the year to April at 8.7%. It’s the first time inflation has been in the single digits since August of last year.

With yesterday’s improved IMF forecasts, Rishi will no doubt be keen to reference the improved economic outlook. However, it’s not all good news for the Prime Minister. Despite April’s fall, inflation was above the Bank of England’s expectations – suggesting further interest rates rises could be on the cards. Food inflation also remained high, at 19.1%. Meanwhile core inflation, excluding food, alcohol, tobacco and energy, actually rose, from 6.2% to 6.8%, underlining the persistence of price rises. We’ve now got the highest rate of core inflation since March 1992.

Jeremy Hunt responded to the figures, saying:

“The IMF said yesterday we’ve acted decisively to tackle inflation but although it is positive that it is now in the single digits, food prices are still rising too fast… we must stick resolutely to the plan to get inflation down”.

If the IMF forecasts, for once, turn out to be correct, and inflation does keep falling, Rishi could be on course to deliver at least two of his pledges…


mdi-tag-outline Inflation ONS
mdi-account-multiple-outline Rishi Sunak
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