The rise in prices for daily costs has remained stable at four percent for the year to January, the same as for the previous month.
This means the rate remains double the target set by the Bank of England, which wants to see inflation fall to two percent.
The largest increase in prices came from the rise in energy bills, with the energy price cap increasing by five percent from the start of January.
Alastair Douglas, CEO of TotallyMoney, said: “While inflation has dropped far below its 11% peak, the impact will be felt for years to come.
“The cost of living is now considerably higher than it was, and the poorest households have been hit the hardest. Savings have been spent, and the Government is barely supporting those it’s supposed to serve.”
Inflation for food and non-alcohol drinks fell from eight percent in December to seven percent in January, owing in particular to bread and cereals, with prices falling 1.3 percent.
This was the largest monthly fall since May 2021, with prices dropping for cream crackers, sponge cake and chocolate biscuits, according to the ONS (Office for National Statistics).
The inflation rate for housing, water, electricity gas and other fuels was at 2.5 percent for January, up from 1.9 percent in December.
More to follow…
