Huge boost for Brits as inflation eases to 3.4% in February, while food and energy prices push interest rates lower
British inflation eased to 3.4 percent in February, while food and energy prices pushed it down – a welcome boost for the British.
This figure has fallen from 4 percent in January and is closer to the Bank’s target of 2 percent.
The drop means the cost of living is at its lowest level since September 2021, when it was 3.1 percent.
Meanwhile, British economic growth could close to US levels, the Chancellor predicted ahead of the release of the latest inflation figures.
In a positive assessment of the economy, Jeremy Hunt said it was ‘absolutely possible’ that Britain could grow faster than Europe.
US GDP grew by 3.2 percent in the final quarter of 2023, figures show, while the British economy shrank by 0.3 percent. Economic growth in the eurozone was flat over the same period.
Jeremy Hunt speaks to Rishi Sunak after presenting the annual budget statement in the House of Commons on March 6
The U.S. economy defied fears of a recession, helped by a rate hike to curb inflation and a tight labor market that has kept wages high.
Appearing before colleagues on the Economic Affairs Committee this week, Mr Hunt spoke about efforts to boost productivity in the public and private sectors.
He said: ‘If you look at our policy to increase private sector investment with the full tax breaks that we have announced, if you look at our nurturing of the technology sector, which I think is a great opportunity for Britain will be. moving forward.
“It is absolutely possible to healthily move our economic growth closer to U.S. growth levels compared to the growth levels of continental Europe.”
This is a breaking news story. More to follow.