UK inflation drops to 4.6% as gas and electricity prices fall

Decline in annual rate in October eases fears that Bank of England will raise interest rates again this year

The UK’s annual inflation rate fell sharply to 4.6% in October on the back of a drop in the cost of gas and electricity, outperforming City forecasts.

The sharp decline in last month’s consumer prices index (CPI) reading from 6.7% in September beat the 4.8% predicted by a poll of economists for Reuters.