Sunak says he will reach goal of halving inflation despite stalling progress

Rishi Sunak insisted he will meet his target of halving inflation despite progress stalling as the Consumer Prices Index (CPI) remained stuck at 6.7%.

The Prime Minister, who made bringing inflation down to about 5.3% by the end of the year his “number one priority”, said: “We’ve made great progress but I know there is still a way to go.”

The Office for National Statistics said CPI inflation in September stayed at the same rate as seen in August, with higher fuel costs cancelling out an ease in the pace of food and drink price rises.

Energy prices

But Mr Sunak and Chancellor Jeremy Hunt should get better news next month as the impact of dramatic energy price increases in 2022 fall out of the figures.

Mr Sunak said: “Tackling inflation remains my number one priority as Prime Minister.

“We will stick to our plan and get it done.”

Mr Hunt said inflation “rarely falls in a straight line” but “if we stick to our plan then we expect it to keep falling this year”.

But shadow chancellor Rachel Reeves said: “Britain is forecast to have the highest rate of inflation of any other major economy next year, meaning higher energy bills and prices in the shop.”

And Liberal Democrat Treasury spokeswoman Sarah Olney said: “The Government’s promise to halve inflation seems to not be worth the paper it’s written on.”

James Smith from the Resolution Foundation think tank, which focuses on living standards, said inflation “should fall sharply next month” due to the changes in energy prices, possibly to below 5%.