The latest data from the Office for National Statistics (ONS) reveals that the Consumer Prices Index (CPI), including owner occupiers’ housing costs (CPIH), rose by 3.8% in the 12 months leading up to February 2024. This marks a decrease from the 4.2% recorded in January.

This decline is significant, considering the peak of 9.6% reached in October 2022 – the highest inflation rate in over 40 years.

In February 2024, the annual rate stood at 3.8%, matching the figure from October 2021.

The drop in the annual rate between January and February 2024 can be attributed to a 0.6% increase in prices for the month, compared to a 1.0% rise in the same period a year earlier.

Owner-occupiers’ housing costs (OOH) saw a 6.0% increase in the 12 months leading up to February 2024, up from 5.4% in January. This marks the highest annual rate since July 1992.

OOH costs rose by 0.9% in February, compared to a 0.3% increase between January and February 2023.

The CPI rose by 3.4% in the 12 months to February 2024, down from 4.0% in January and significantly below the peak of 11.1% seen in October 2022.

The decrease in the annual rate between January and February 2024 can be attributed to a 0.6% increase in prices for the month, compared to a 1.1% rise a year earlier.