inflation

[mkjuk]

Why is inflation falling so quickly / predicted to fall so quickly when the price of imports must be going up dramatically with the fall of sterling? I know the oil price / costs of production have falled dramatically (even in sterling terms) but i would have thought the drop in sterling would have had more of an effect on food prices etc. it seems to be being dismissed entirely

[factor-fiction]

No, mkjuk is right, inflation (CPI/RPI) is falling from over 5% pa to below 5% and is forecast to fall to around 2-3 % pretty quickly. Reasons include falling prices for petrol, mortgage payments (RPI ) and high street sale prices. These more than offset the increased cost of imports

[steven15]

As of the present conditions the Pound is down around 27% versus the US dollar this year.This is one of the lowest since 1972.
Sterling has also been weak against euro.
It has seriously underperformed and the general outlook on pound is rather pessimistic.