World Economy

UK Deflation Temporary

UK Deflation TemporaryUK Deflation Temporary

Britain’s annual rate of consumer price inflation fell below zero for the first time in more than half a century, official figures showed, though Bank of England Governor Mark Carney said the dip was likely to be brief, NewsNow reported. British finance minister, George Osborne, also said the drop did not amount to “damaging deflation,” referring to a spiral of falling prices that hurt the economy. The Office for National Statistics said consumer prices fell 0.1% in April compared with the same month last year. Economists taking part in a Reuters poll had expected the consumer price index to remain unchanged. It was the first time annual CPI had fallen since official records began in 1996.