CBI responds to latest inflation figures

Alpesh Paleja, CBI Lead Economist, said: 

“Another fall in inflation over January suggests that the tide is turning on price pressures. But with inflation and pipeline cost pressures set to remain high this year, households and businesses are likely to feel the pain for a while yet. In particular, the continued strength in more domestic measures of inflation will keep alarm bells ringing at the Bank of England. 

“Given the central role played by energy prices in driving inflation up over the past year, the government must use the upcoming Budget to deliver a home-grown, secure, low-cost and low-carbon energy system. Measures that boost green investment will not only help reduce exposure to volatility in global energy prices, but also deliver a sustainable path to reaching Net Zero.”