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Inflation: Key Economic Indicators

Published Wednesday, April 18, 2018

Inflation: Data on both the CPI and RPI inflation indices.

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The Consumer Prices Index (CPI) is the main measure of inflation. It is produced in line with international standards and is the measure used for the Bank of England’s 2% inflation target. The Retail Prices Index (RPI) is no longer classified as a National Statistic as the way it is calculated does not meet international standards. It is included here as it is well-known and is the longest running measure of inflation.

The CPI inflation rate decreased to 2.5% in March 2018, down 0.2 percentage points from 2.7% in February.

The RPI inflation rate decreased to 3.3% in March 2018, down from 3.6% in February. This is the lowest the rate has been since March 2017.

The decrease in the CPI rate was mostly due to falls in the price of alcohol and tobacco, clothing and footwear, and miscellaneous goods and services. This was partly offset by an increase in the price of recreation and culture.

Commons Briefing papers SN02792

Author: Philip Brien

Topics: Economic policy, Economic situation

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