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Inflationary Pressures Starting to Ease?


Inflation's slight fall to 2.7% yesterday was perhaps not a major surprise given the indications of lower levels of consumer spending on the high street and the recent flurry of high-profile business failures. The decrease certainly eases the pressure on the Bank of England to immediately raise interest rates, although a further rise is still predicted in the near future. Given falling prices, the pressure on consumers, who have been squeezed by both stagnant wages and rising prices, is gradually relinquishing and perhaps this might provide some prospects for a gradual rise in consumption over the next few months. [Click image to read full article]


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