Britain's 12-month inflation slowed to 1.9 per cent in January, the lowest level for more than four years, official data showed today.
In December, it had stood at 2 per cent, the Bank of England's target rate.
With inflation low and British unemployment not yet below 7 per cent, the Bank of England's Monetary Policy Committee (MPC) is likely to keep its main interest rate at a record-low level of 0.50 per cent this year, according to economists.
On a month-on-month basis, the Consumer Prices Index (CPI) fell 0.6 per cent in January, the Office for National Statistics said in a statement.
"Inflation looks set to ease considerably further this year," said Samuel Tombs, economist at consultants Capital Economics.
"There is a good chance that CPI inflation will fall to as low as 1.0 per cent by the end of this year and remain subdued thereafter" amid a slowing of price rises for food and energy products.
"This should enable real earnings to rise for the first year since 2007 and allow the MPC to keep interest rates on hold until well into next year."
Britain is a member of the European Union but not of the eurozone so retains responsibility for its monetary policy, and although the central bank has a high degree of independence it answers in the last resort to the government.
