For the first time since May, the Bank of England has inched a little closer to its 2 per cent inflation target. Figures released by the Office for National Statistics this morning show that last month the Consumer Price Index fell to 3.6 per cent from 3.8 per cent in September.

Unfortunately for the government, the slight improvement offers limited relief ahead of the upcoming Budget next Wednesday. October marks the thirteenth consecutive month above the target. Food and drink inflation, a primary issue to the majority of voters, increased to 4.9 per cent from 4.5 per cent in September. To make matters worse, transport costs, another expense felt keenly by households, are rising rapidly and show minimal signs of recovery. Yesterday, petrol prices reached their highest level since March.

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