(Bloomberg) -- U.K. inflation slowed slightly in February before the impact of the coronavirus really hit the economy.
Consumer prices rose 1.7% from a year earlier, from 1.8% previously, the Office for National Statistics said Wednesday. Since the information was gathered the inflation outlook has been thrown into turmoil by the economic crisis wrought by the coronavirus pandemic, and the curbs on activity designed to contain it.
The move lower was driven by motor fuel, which saw a sharp decline in the month of February. Games, toys and hobbies also acted as a drag, with computer games the biggest driver.
The Bank of England has slashed interest rates to a record-low of 0.1% as it acted alongside the Treasury to aid an economy facing its steepest contraction in century in the coming quarter.
Meanwhile, oil prices have tumbled to their lowest since 2003, which will push down on inflation. The pound has tumbled, dropping almost 11% against the dollar this year, with most of those losses coming this month.
Core inflation also stood at 1.7% in February, the ONS said.
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