UK inflation eased as the Consumer Prices Index (CPI) rose by 2.5 per cent in the 12 months to December 2024, down slightly from 2.6 per cent in November, according to the Office for National Statistics (ONS) on Wednesday.
Monthly CPI increased by 0.3 per cent in December, compared to 0.4 per cent in the same month last year.
Restaurants and hotels contributed the most to the easing in the annual inflation rate, while transport provided the largest upward pressure.
Core CPI, which excludes volatile items like energy and food, climbed by 3.2 per cent year-on-year, down from 3.5 per cent in November. The CPI goods annual rate edged up from 0.4 per cent to 0.7 per cent, while the CPI services rate fell from 5.0 per cent to 4.4 per cent.
The data highlights moderating price pressures as inflation trends closer to the Bank of England’s (BOE) 2 per cent target.
Attribution: Amwal Al Ghad English
Subediting: Y.Yasser