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C P I Is 0.0%

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http://www.ons.gov.uk/ons/rel/cpi/consumer-price-indices/february-2015/stb---consumer-price-indices---february-2015.html

Key points
  • The Consumer Prices Index (CPI) was unchanged in the year to February 2015, that is, a 12-month rate of 0.0%, down from 0.3% in January.
  • The main contributions to the slowdown in the rate came from price movements for a range of recreational goods (particularly data processing equipment, books and games, toys & hobbies), food and furniture & furnishings.
  • There were no large upward effects to offset the change.
  • CPIH (not a National Statistic) grew by 0.3% in the year to February 2015, down from 0.5% in January.
  • CPIH has been revised as a result of development work on owner occupiers’ housing costs - see background note 1.

Everybody happy now?

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http://www.ons.gov.uk/ons/rel/cpi/consumer-price-indices/february-2015/stb---consumer-price-indices---february-2015.html#tab-Consumer-Prices-Index--CPI---What-are-the-main-movements-

The largest downward contributions to the change in the CPI 12-month rate between January and February 2015 came from:

  • Recreation & culture: prices, overall, were little changed between January and February this year compared with a rise of 0.8% between the same two months a year ago. The downward contribution came from price movements for a range of recreational goods and services, most notably data processing equipment, books and games, toys & hobbies.

  • Food & non-alcoholic beverages: prices, overall, fell by 0.2% between January and February 2015, compared with a rise of 0.5% between the same two months a year earlier. The fall in prices this year is the first between January and February since 1998. The downward effects came from a variety of product groups, particularly milk, cheese & eggs, mineral waters, soft drinks & juices, bread & cereals and sugar, jam, syrups, chocolate & confectionery.

  • Furniture, household equipment & maintenance: prices, overall, rose by 1.4% between January and February, compared with a larger rise of 2.4% between the same two months a year ago. The downward contribution came principally from furniture & furnishings where prices rose by less than a year ago following the January sales period.

There were no notable upward contributions to the change in the CPI 12-month rate between January and February 2015.

Figure C: Contributions to the change in the CPI 12-month rate: February 2015 United Kingdom

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I've just watched the brainless bint on the BBC and apparently 0.0% inflation of goods means people will take longer to pay their mortgages.

Now with wage inflation being higher i'm going all out to say people will have more money in their pockets to pay off their bleedin mortgage.

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"I don't have to tell you things are bad. Everybody knows things are bad. It's a depression. Everybody's out of work or scared of losing their job. The dollar buys a nickel's worth. Banks are going bust. Shopkeepers keep a gun under the counter. Punks are running wild in the street and there's nobody anywhere who seems to know what to do..."

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"I don't have to tell you things are bad. Everybody knows things are bad. It's a depression. Everybody's out of work or scared of losing their job. The dollar buys a nickel's worth. Banks are going bust. Shopkeepers keep a gun under the counter. Punks are running wild in the street and there's nobody anywhere who seems to know what to do..."

No..no ..no...no ...George said we have the fast growth it the western world ...he just failed to mention he was talking about the population

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OH and the stupid bint is now rabbiting on about the downward spiral of people putting off spending, the analysis has the depth of a shallow puddle.

Time to switch to RT.

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And...

"the world is a college of corporations, inexorably determined by the immutable byelaws of business...the world is a business, Mr. Beale."

Hooray for the new normal and the new zero. More savings, more wages, cheaper buns and flat screens and slabs of lager. It's all good. What could go wrong? Where's that Clarkson petition, must sign on the line, focus, focus on what's important.

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OH and the stupid bint is now rabbiting on about the downward spiral of people putting off spending, the analysis has the depth of a shallow puddle.

Time to switch to RT.

I stopped looking at the BBC News website after it recently turned into a wordpress blog run by a fifteen year old.

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Just to be clear, do the food price 'reductions' take into account ingredient substitution, package shrinkage etc while the companies still charge the same price?

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Just to be clear, do the food price 'reductions' take into account ingredient substitution, package shrinkage etc while the companies still charge the same price?

:lol:

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I stopped looking at the BBC News website after it recently turned into a wordpress blog run by a fifteen year old.

Its probably the same 15 year old GCSE economics book that they use for their analysis. People mock Fox News but they have fantastic and informative debates on their ... All the British news channels are a joke and are aimed at keeping people uninformed and stupid.

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Daily Politics is about as sassy as it gets.

I think there is some weight comparison included with CPI, to counter shrinkflation? Strange that people are getting fatter when the choc bars are getting smaller.

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Everybody happy now?

Fairly yes.....the nominal gains on Crashmonitor plc capital account are real gains in wealth and not wiped out by inflation. OK you could argue that the index doesn't shadow assets but as a mortgage free household that is not the be all and end all.

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Good news. Deflation is not the problem.

No deflation is not the problem it is the effect of the problem.........no money or valueless money = no demand. ;)

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Difficult to understand why Carney and haldane are seen as exceptionally brilliant when they only have one job and theyve screwed it up so spectacularly.

Any other directors who were such a failure and theyd be summarily sacked.

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No deflation is not the problem it is the effect of the problem.........no money or valueless money = no demand. ;)

My heart bleeds. Because of the deflation I will have more spending money; eg for vacations. Expensive assets will fall in value. And over-debt people and left wing governments will get bankrupted.

I am looking forward!

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Sole objective of BOE to keep inflation at 2% - how many months in the last ten years has inflation been at 2%? Any guesses? Out of 120 months, I'd go for lucky seven. Job well done.

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Dosn't this mean we can expect measures to get inflation back up to 2% ?

Yes...that is the target.....tax rises should sort it......or push assets up a tad higher....we might all feel richer and go out and borrow and spend with a wing and a prayer....money for earning nothing extra. ;)

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