'Black Friday effect' and Covid-19 restrictions plunge inflation to 0.3%

ONS data for November

UK Covid-19 restrictions in place throughout November pushed the country’s CPI inflation rate down to 0.3% from 0.7% in the previous month, according to data from the Office for National Statistics.

The CPIH 12-month rate, which includes owner occupiers' housing costs, also fell to 0.6% in November, down from 0.9% in October. BoE increases QE to £875bn but avoids negative interest rates Falling prices for clothing, and food and non-alcoholic beverages made the largest contributions to the downward trend, with a fall of 0.17 and 0.09 percentage points respectively. Clothing prices fell by 2.6% between October and November 2020, compared with a rise of 1.0% between the same two months a year ago. The ONS said prices usually rise between these two months but price movements ac...