Inflation falls more than expected to 3.2% according to latest official data

The Office for National Statistics (ONS) has this morning reported a fall in inflation.

This figure comes down from 3.6 percent in October to 3.2 percent.

This means that although prices are still rising, they are rising more slowly than at the beginning of the year.

Deutsche Bank chief UK economist Sanjay Raja said we saw a “peak” in inflation in August, but the figures show a downward trend.

“The autumn budget measures have lowered our projections for inflation for next year – particularly in the spring. Low energy prices have also helped to lower our projections,” he said.

“We see the CPI moving very close to target from spring next year before returning more stably to target in 2027.”

Economists said low prices for goods such as food and tobacco contributed to last month’s falling inflation.

Grant Fitzner, chief economist at the Office for National Statistics, said cakes, biscuits and breakfast cereals had seen particular declines.

The consumer price index (CPI) rose 3.2 per cent in the 12 months to November 2025, down from 3.6 per cent in October 2025.

This is its lowest annual rate since March.