Circular No. NP/151/10/MC
17th August 2010
TO: ALL BRANCHES, REGIONAL ORGANISERS, REGIONAL COUNCILS, & COUNCIL OF EXECUTIVES.
Inflation Rates Circular
The July rates of RPI and CPI were published by the Office for National Statistics on the 17th August 2010. The July 2010 retail prices index rate is 4.8%. This is down from 5.0% in June. The Government’s preferred measure of inflation, CPI, is at 3.1%, down from 3.2% in June. The next publication date is the 14th September 2010.
The decrease in the rate of inflation was mainly due to the price of second-hand cars falling between June and July this year but rising over the same period a year ago; the price increase of 3.0 per cent last year was a record for a June to July period. There was also a downward effect from petrol with prices falling by 0.7 pence per litre between June and July this year but rising by 1.1 pence per litre a year ago.
The largest upward pressures to the change in inflation came from:
· a variety of food and non-alcoholic beverages with the single largest upward effect from vegetable prices
· furniture, household equipment and maintenance where prices, overall, fell by less than a year ago.
In pay submissions the RMT will continue to emphasise that your financial commitments have increased at a much greater rate than inflation and your living standards have suffered as a result.