We delivered on inflation now we must stay on course

RISHI Sunak celebrated hitting his inflation target as it plunged to 4.6% in a boost for struggling households.

- Martyn Brown

The rate dropped below 5% for the first time in two years delivering on the Prime Minister's number-one promise to the public.

Economists said the fall from 6.7% the previous month means Britain will no longer be seen as an "inflation nation" and "slams the door" on any further interest rate hikes.

The Prime Minister said at the start of 2023 when the rate was 10.7% that it would halve by the end of the year.

The bigger-than-expected fall gives Mr Sunak and Chancellor Jeremy Hunt more flexibility ahead of next week's autumn statement and will fuel calls for tax cuts from the Tory right. It also comes as a welcome relief to families in the run-up to Christmas.

Meeting one of his five key pledges - which also include growing the economy, reducing national debt, cutting NHS waiting lists and stopping small-boat channel crossings will be a major relief in Downing Street.

Discipline

Mr Sunak said: "In January I made halving inflation this year my top priority. I did that because it is, without a doubt, the best way to ease the cost of living and give families financial security. Today we have delivered on that pledge."