Official figures show that inflation in Britain dipped in May, back to the Bank of England’s target, amid lower air fares and car prices.
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The Office for National Statistics said Wednesday that consumer prices were up 2% in the year to May, compared with 2.1% the previous month.
The fall means inflation is back at the Bank of England’s target of 2% and could ease the pressure on rate-setters to back a rate hike in the near future. The bank’s Monetary Policy Committee is expected to keep its main interest rate at 0.75% on Thursday.
