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UK inflation falls to 2.7% in October

The rate of inflation in the UK fell by 0.1 percentage points to 2.7% last month as house prices and tuition fees rose by less than a year ago.

According to figures released today by The Office for National Statistics, RPIX, which excludes mortgage interest payments, was unchanged on the month to give a 2.7% annual rise, the slowest since January.

The inflation rate remained above the Bank of England's target of 2.5% for the 12th month running. The overall headline rate of inflation, or RPI, rose 0.1% on the month to stand 2.6% higher than a year earlier, the smallest rise in almost a year.

The harmonised index of consumer prices, which excludes house prices and council tax, remained steady at just 1.4% for the third month running.