Commenting on today's UK CPI report, which showed inflation slowed from 4.0% YoY in January to 3.4% YoY in February, the weakest since September 2021, British finance minister Jeremy Hunt said that data confirm that Britain is firmly on track to bring price growth back to the 2% target.
The official added that, as inflation gets closer to its target, that opens the door for the Bank of England to consider bringing down interest rates. “That brings down mortgage rates. That makes a very big difference,” Hunt noted.