UK inflation fell to 10.5% in December

Inflation in the United Kingdom eased to 10.5% year-on-year in December, down from 10.7% in November, but remained at historically high levels, adding to the country’s cost-of-living crisis.

Transport prices, particularly fuel, fell dramatically last month, as did prices for clothing, footwear and leisure and cultural activities, despite year-end celebrations, the Office for National Statistics said in a report on Wednesday.

However, hotel, flight and restaurant prices, as well as food and non-alcoholic beverages rose, dampening the decline in prices.

“High inflation is a nightmare for household budgets, destroying business investment and leading to strikes, so even if it’s hard, we must be on track to bring it down,” Finance Minister Jeremy Hunt said in a statement. He added, “The plan is to halve inflation this year, reduce debt and improve the economy, but it is important to take the necessary tough decisions.”

Strikes in several sectors such as transport, education and health are on the rise in the country as unions demand wage hikes in line with inflation.

However, the government is currently refusing to accept the demands of the strikers.

For his part, Labour’s opposition official for financial affairs expressed his regret at the “13 years of missed opportunities under the Conservative Party, which left our economy weak and our families in dire straits.”