British consumer price index down to 3.2% in June

The consumer price index in Britain declined to 3.2 percent in June from 3.4 percent in May due to lower prices for car fuel, clothing and shoes, the Office for National Statistics (ONS) reported on Tuesday.

The report showed that prices for fuels and lubricants in Britain fell by 1.9 percent in June comparing with the previous month but rose by 3.8 percent over the same month of last year. The next most significant downward pressure in June came from clothing and footwear where price falls are a record for the June sales season.

The ONS also said that the retail prices index -- a separate measure widely used in wage negotiations -- fell to a 5 percent annual rate in June from 5.1 percent in May.

The consumer price index in Britain in June declined from a 17-month high of 3.7 percent in April but it is still much higher than the target rate of 2 percent set by the Bank of England, the central bank of Britain. However, the bank has predicted that the inflation will decline to 2 percent in the next year.

Source:Xinhua