London, Wednesday, 14 December 2022
The UK's annual inflation rate decreased from 11.1% in October, which was the highest since October 1981, to 10.7% in November 2022.
The figures fell short of market expectations by 10.9%, with transportation contributing the most to the decline (7.2% vs. 8.9%), especially motor fuels (17.2% vs. 22.2%) and used automobiles (-5.8% vs. -2.7%).
Prices also decreased for communication (2.6% vs. 3.2%), recreation and culture (5.3% vs. 5.9%), and apparel and footwear (7.5% vs. 8.5%).
On the other hand, prices at hotels and restaurants increased by a record 10.2% (vs. 9.6%), primarily due to the increased availability of alcohol in these establishments.
Meanwhile, food inflation increased slightly to 16.5% from 16.4%, reaching its highest level since 1977, driven primarily by the price of bread and cereals. 4.5% more than the 4.3% increase in October was the rise in housing rentals.
The CPI rose by 0.4% from the prior month, which is significantly less than the 2% increase in October.
(Source: Office for National Statistics Edit by: The Decision Maker – Finance editors)