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The rate of inflation eased to 10.5%, according to official figures – down from 10.7% in November.

The Office for National Statistics (ONS) said the reduced cost of motor fuels led to the decline in the core consumer prices index (CPI) measure of inflation along with cheaper clothing and footwear, and recreation and culture.

Pushing inflation up, the ONS added, were higher prices in restaurants and hotels, food and non-alcoholic beverages.

Today’s announcement is the latest signal that the UK might have seen the worst of inflation. The number is down from a 41-year high of 11.1% recorded in October.

Economists polled by Reuters had expected a rate of 10.5% for the year up to December 2022.

Prices had been rising steadily since late 2021, when supply chain problems linked to COVID lockdowns and worker shortages meant demand for goods could not be met.

The problem was exacerbated by Russia’s invasion of Ukraine, when countries scrambled to find other energy sources and reduce their use of Russian gas, pushing up the cost of energy and all other goods that require energy input, as a result.

The slow decrease in inflation is not good news for borrowers, as the Bank of England will likely continue its programme of interest rate increases to bring inflation to its 2% target.

The Bank’s chief economist this month warned that inflation may prove to be more persistent in the UK than other countries.

While it is expected by financial markets that rates will peak at 4.25% in May, Mr Pill’s comments may signal willingness at the Bank to raise rates higher or for longer if inflation does not come down.

Responding to today’s announcement, Chancellor of the Exchequer Jeremy Hunt, said:

“High inflation is a nightmare for family budgets, destroys business investment and leads to strike action, so however tough, we need to stick to our plan to bring it down.

“While any fall in inflation is welcome, we have a plan to go further and halve inflation this year, reduce debt, and grow the economy – but it is vital that we take the difficult decisions needed and see the plan through.

“To help families in the meantime, we are providing an average of £3,500 of support for every household over this year and next.”

If the government’s inflation reduction targets are reached, it will not be because of state policy, the Institute of Chartered Accountants in England and Wales (ICAEW) said.

“The Prime Minister should achieve his pledge to halve inflation this year, but this will owe more to the downward pressure on prices from a flatlining economy and falling energy costs, than from any government action,” the ICAEW economics director said.

While inflation is easing the pressures on households are sizeable and will remain that way, the Confederation of British Industry (CBI) noted.

“Despite this, the cost-of-living crisis will continue to be a very real problem for both households and businesses, as price pressures remain high in the short-term,” the CBI’s lead economist, Alpesh Paleja, said. “Against the backdrop of a recession firms will continue to face higher costs and weak demand conditions.”

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Queen Camilla withdraws from engagements after becoming unwell with chest infection

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Queen Camilla withdraws from engagements after becoming unwell with chest infection

The Queen is unwell with a chest infection and has withdrawn from her engagements this week, Buckingham Palace has announced.

A palace spokesperson said Camilla’s doctors “have advised a short period of rest” and added that “with great regret, Her Majesty has therefore had to withdraw from her engagements for this week”.

They added the Queen “very much hopes to be recovered in time to attend this weekend’s Remembrance events as normal”.

“She apologises to all those who may be inconvenienced or disappointed as a result,” they said.

It is understood the Queen is currently resting at home and is under doctor’s supervision.

Birgitte, the Duchess of Gloucester, has stepped in on Camilla’s behalf to attend the annual opening of the Field of Remembrance at Westminster Abbey on Thursday.

The Queen has also withdrawn from a Buckingham Palace reception for Olympic and Paralympic athletes hosted by the King on the same evening.

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Camilla recently returned from an overseas tour of Australia and Samoa. No further details regarding her illness or treatment have been released.

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Labour confirms U-turn on proposed ban on smoking and vaping in pub gardens

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Labour confirms U-turn on proposed ban on smoking and vaping in pub gardens

A proposed ban on vaping and smoking in pub gardens will not go ahead, the health secretary has confirmed.

Wes Streeting said the Labour government would not press ahead with the idea after it was floated over the summer and caused an outcry within the hospitality industry.

Back in August, Sir Keir Starmer said his government was considering a ban on outdoor smoking in a bid to bring down the 80,000 preventable deaths caused by smoking in the UK each year.

The ban would have covered smoking in outdoor restaurants and outside sports venues, hospitals, nightclubs, and in some small parks.

But speaking to Sky News this morning, Mr Streeting confirmed the U-turn and said: “We’re not going ahead or not proposing to go ahead with a [smoking] ban on outdoor hospitality.”

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He said the policy idea was a “leak of government discussion” over the summer and promoted a “really good debate about whether or not it would be proportionate” when taking into account the public health benefits, but also the potential downsides.

“I think people know the UK hospitality sector has taken a battering in recent years,” he added.

“And we don’t want to add to their pressure – so we’re not proposing to go ahead with an outdoor hospitality ban at this time.”

However, Mr Streeting did say that the smoking ban would be extended to some outdoor spaces, including schools, hospitals and children’s playgrounds.

It comes as the government today introduces a “groundbreaking” bill that aims to create the “first-ever smoke-free generation”.

The Tobacco and Vapes bill, which was first introduced by Rishi Sunak but was dropped due to the general election, will prevent anyone who was born on or after 1 January 2009 from buying tobacco.

The ban will effectively raise the legal age for buying cigarettes in England by one year every year, until it applies to the whole population.

The policy to create a “smoke-free generation” was seen as a defining one of Mr Sunak‘s premiership and caused controversy within Tory ranks, particularly the more libertarian wing of the party.

The bill will also create limits on the sale and marketing of vapes to children, while separate environmental legislation will be introduced to ban the sale and supply of single-use vapes by next summer.

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The health secretary said “clamping down on the scourge of youth vaping” with licensing, tougher enforcement and a ban on the marketing of vapes to children and young people was “happily, an area of broad cross-party consensus”.

“I first proposed the generational ban for children, when I was the shadow health secretary,” he said.

“To my delight and surprise, Rishi Sunak took it up as prime minister and Conservative leader.

“I hope that cross-party support will sustain a new leader of the Conservative Party, but we’ll find out in the coming weeks.”

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Powys crash: Safety system ‘blocked’ before fatal train collision

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Powys crash: Safety system 'blocked' before fatal train collision

A safety system was “blocked” during a fatal train crash in Powys, an initial investigation has found.

The Rail Accident Investigation Branch (RAIB) has published its initial findings into last month’s collision, in which one person died.

David Tudor Evans, 66, was described as a “lovely guy, full of life and enjoyment”.

A further 15 people were taken to hospital for treatment after the crash near Talerddig, police said.

The collision – at around 7.26pm on 21 October – involved the 6.31pm Transport for Wales service from Shrewsbury to Aberystwyth and the 7.09pm Transport for Wales service from Machynlleth to Shrewsbury.

The RAIB said the units were fitted with wheel slide protection systems – described as being similar to anti-lock braking systems in cars – and an automatic sanding system.

Sand is discharged automatically via hoses when a wheel slide is detected during braking – creating more friction at the wheel-rail interface.

Powys train crash
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A map showing the location of the crash near Llanbrynmair and Talerddig in Powys

The on-train data recorder shows the wheel slide started during braking and was also present after the driver made an emergency brake demand.

An inspection of the sanding system fitted to Aberystwyth-bound train 1J25 showed the leading vehicle’s sanding hoses were blocked.

The RAIB says they were apparently unable to discharge sand.

The ongoing investigation is also looking at the speed at which the trains were travelling when they collided.

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Initial enquiries suggest the westbound train was travelling at a speed of between 15mph and 24mph, while the eastbound train was travelling at a speed of 6mph.

The RAIB says its investigation will look at the sequence of events which led to the crash.

As part of the probe, the agency will look at factors including the actions of those involved, the level of wheel-rail adhesion, and the behaviour of both trains during and after the crash.

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In a joint statement, Transport for Wales and Network Rail said they have “fully cooperated” with the British Transport Police, the Office of Rail and Road and the Rail Accident Investigation Branch.

“As investigations are currently still ongoing, we’ll continue to work together with investigators to understand what happened and await the full conclusion and recommendations of the investigation,” a spokesperson said.

The spokesperson said safety was the “main priority” for both companies and they had “carried out enhanced checks to the trains and the railway line”.

“At this early stage of the investigation, it’s fundamental that we await the findings of the full report and show sensitivity towards our customers, colleagues, the local community and the families of those affected by the incident,” they added.

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