A record low for inflation for the United Kingdom. It fell sharply to 0.5 percent in December official figures revealed, the joint lowest since records began.
Inflation, which is measured by the Consumer Prices Index, fell from one percent in November to its lowest rate since May 2000 helped by cheaper fuel prices.
The drop has triggered a letter of explanation from the Bank of England governor Mark Carney to the chancellor. That’s because the rate fell to more than one percentage point away from the Bank’s two percent target.
Chancellor George Osborne tweeted “Welcome news with family budgets going further.”