The UK consumer price index (CPI) annual inflation rate has dropped to 3.9% in November 2023 from 4.6% in October, according to data released by the Office for National Statistics (ONS).
The annual inflation rate declined by 0.2% on a monthly basis, compared to a rise of 0.4% in the same period of the previous year.
The CPI for food and non-alcoholic beverages rose by 0.3% month on month, while the annual rate for this segment was 9.2%.
The CPI for alcohol and tobacco dropped from 11.0% in the 12 months to October 2023 to 10.2% in November.
The annual inflation rate for clothing and footwear also decreased to 5.7% in the 12 months to November 2023, from 6.2% in October.
ONS data showed that the annual inflation rate for furniture and household goods was 2.4% in November, down from 3.1% in October.
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The annual inflation rate for the restaurants and hotels segment remained unchanged at 7.6% between October and November 2023.
In response to the ONS data, British Retail Consortium chief executive Helen Dickinson said: “Inflation continued to fall as fierce competition between retailers helped hold down prices for consumers.
“With the eighth consecutive fall in food inflation and continued easing in clothing and footwear inflation, retailers are clearly working hard to deliver an affordable Christmas for households everywhere.
“To keep inflation falling, it is vital that government considers the cumulative impact of their policies – from its proposed deposit return scheme to its new packaging levy – or the rising cost of doing business will undoubtedly filter back through to inflation.”