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Inflation changes in Europe/ Pressure on banks to lower interest rates increases

2025-04-20 15:40:00, Ekonomi CNA

Inflation changes in Europe/ Pressure on banks to lower interest rates increases

Inflation in Europe is undergoing changes, and this is also noticeable in British economic data.

UK inflation fell to 2.6% in March, increasing pressure on Bank of England policymakers to cut interest rates next month as US tariff changes cast an uncertain outlook.

March's annual rate comes ahead of expected growth due to rising household bills this month

Price growth was weak ahead of an expected rise in April as households began paying higher council tax and utility bills.

Last month's reading was below expectations for a 2.7% decline. It comes after the consumer price index fell in February to 2.8%, from 3% in January.

The Office for National Statistics said falling fuel prices and a slowdown in overnight cost growth reduced inflation, although this was offset by rising prices for clothing and footwear. Food prices were also a factor in slowing price increases as they were unchanged in March compared with price increases in the same month last year.

The average price of petrol fell by 1.6p/litre between February and March 2025 to stand at 137.5p/litre, from 144.8p/litre in March 2024, according to the data. /CNA





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