Inflation plumbs five year low

Inflation measured by the Consumer Prices Index (CPI) dropped to an annual rate of 1.1% in September, from 1.6% in August - a level not seen since September 2004. The Retail Prices Index (RPI), a measure of inflation that includes housing costs, also fell, to -1.4% from -1.3% a month earlier. A spike in gas and electricity bills in August and September 2008 compared with this year when major suppliers kept tariffs steady were the main contributors for the scale of the drop, which was more than analysts had expected. Lower food and restaurant prices compared with last year also help...