Retail Price Cuts Push Down Rate of Inflation

Daily PostJuly 13, 2011

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INFLATION unexpectedly fell last month as retailers cut prices in response to the tightening squeeze on household incomes, figures revealed yesterday.

Reductions in the prices of digital cameras, televisions and women's shoes prompted a fall in the Consumer Prices Index (CPI) to an annual rate of 4.2% in June, the Office of National Statistics (ONS) said, against consensus City forecasts of no change from May's figure of 4.5%.

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Retail Price Cuts Push Down Rate of Inflation

Figures from the ONS showed the price of televisions and other audio-visual products fell by 3.1% month-on-month, while camera prices tumbled by 7.4%, with th...

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