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UK inflation falls as price of petrol drops

UK inflation falls as price of petrol drops UK inflation falls as price of petrol drops
Faarea Masud

BBC Business reporter

Getty Images A man pays for his petrol using his bank card at the petrol pump.Getty Images

Falling petrol prices drove UK inflation down by more than expected in the year to March.

Inflation was 2.6%, down from a rate of 2.8% in February, according to official data.

But the fall may only be temporary as analysts say it’s expected to spike from April as rising bills and higher business costs take hold.

“The only significant offset came from the price of clothes which rose strongly this month,” said Grant Fitzner, chief economist at the Office for National Statistics (ONS).

The inflation decrease was driven by a drop in recreation and culture prices, with toys, games, and hobbies falling particularly sharply.

This article was originally published at www.bbc.com

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