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UK inflation eased more than expected to 10.7 percent in November, down from a 41-year peak of 11.1 percent in October.

This is shown by the latest official data of British statistics, cited by Reuters.

Cheaper fuel has helped ease price pressures, although high food and energy prices have continued to weigh on British households and businesses.

Economists polled by the agency had forecast the annual consumer price index to fall to 10.9 percent in November.

On a monthly basis, the increase in consumer prices in November was 0.4 percent, compared to 2 percent in October.

Forecasts for November were for monthly inflation of 0.6 percent, adds CNBC.

The biggest contributor to the generally lower inflation in November was "transport, particularly motor fuels, but rising prices in restaurants, cafes and pubs, however, had a reverse, partially offsetting contribution to pushing prices up", explained British statistics experts. .

UK headline inflation also edged down, to 6.3 per cent year-on-year last month, down from 6.5 per cent in October.

The index excludes energy, food, alcohol and tobacco prices, which some economists believe gives a better indication of longer-term price trends.

Britain's Office for Budget Responsibility (OBR) has predicted that UK citizens will experience the biggest drop in their living standards since statistics began recording such figures, as real household income is expected to fall by 4.3 per cent in 2022 - 2023

The British expect inflation to continue to rise

Against this background, the country's finance minister Jeremy Hunt warned that the hardships for the population caused by inflation will increase if the government makes the wrong decisions now, stressing that tough decisions are needed to deal with rising prices.

"I know it's difficult for many right now, but it's vital that we make the tough decisions needed to tackle inflation - the number one enemy that makes everyone poorer. If we make the wrong choices now, high prices will continue into the future and prolonging pain for millions," Hunt said, commenting on the latest inflation data.

inflation

British economy