Against a background of rising house prices and modest signs of economic recovery, the Office of National Statistics (ONS) said today that the consumer price index fell to 1.5 percent in May. The other index, the retail prices index, showed a drop to 2.4 percent during the month of May,
That compares to 1.8 percent in April and represents the sixth month in a row that inflation stayed below the Bank of England’s ceiling of two percent.
Food prices fell during May but other figures from the ONS showed that house prices in the UK jumped by 9.9 percent in April 2014 compared to April 2013, with an average abode costing £260,000.
London showed a rise of 18.7 percent but prices also rose entire all regions in the UK.
Pay is failing to keep up with inflation.