No escape yet

Inflation starts to fall. but there are tough times ahead

- GRAHAM HISCOTT

THE cost of living crisis is far from over despite a bigger-than-expected fall in inflation last month, critics warn.

The Consumer Prices Index measure of inflation fell from 8.7% to 7.9% in June, the Office for National Statistics confirmed.

The sharp drop was led by a significant fall in fuel prices.

Food and drink inflation slowed markedly, but grocery bills soared more than 17% in the year to June.

So-called core inflation, which strips out volatile elements such as fuel and food and is closely watched by the Bank of England, eased from 7.1% to 6.9%.

Chancellor Jeremy Hunt said: "Inflation is falling and stands at its lowest level since last March.