leavisson deflation

With the Retail Prices Index, year-on-year, at 0.1%, we're pretty much in deflation already. We're n...

With the Retail Prices Index, year-on-year, at 0.1%, we're pretty much in deflation already. We're not there with the Consumer Price Index (CPI) yet but we probable will be by the third quarter of this year. It is going to be difficult to avoid deflation even if the economy did start picking up because it is a year-on-year comparison. Just as oil and food were the reasons inflation headed north of 5%, they will be the things that impact on the way down. Add to that, VAT being cut by 2.5%, unemployment going up so dramatically and demand and high street sales collapsing and you can see the...