UK CPI inflation falls to 15-year low of 0.5%

UK consumer price inflation has fallen to a 15-year low of just 0.5%, driven by plunging oil prices.

UK CPI inflation stood at 0.5% in the year to December, down from 1% in November, according to the Office for National Statistics (ONS). The last time CPI was at 0.5% was in May 2000. The ONS said the main contributions to the fall came from the December 2013 gas and electricity price rises falling out of the calculation, as well as the continuing drop in motor fuel prices. While the rate of inflation fell, there was some upward pressure from prices for alcohol - notably wine and spirits. Prices, overall, usually fall for alcohol in the run up to Christmas. In 2014 the majority of the...