Year-on-year inflation fell to 1.7% in September below expectations of 1.9% (Trading Economics).

Year-on-year core Inflation (excluding food and energy) fell to 3.2%, below expectations of 3.4% (Trading Economics).

Month-on-month inflation fell to 0% in September, down from 0.3% in August.

Isaac Stell, Investment Manager, Wealth Club

"The Bank of England can today breathe a sigh of relief as inflation, at long last, has fallen below its 2% target, vindicating the steady interest rate cut path they have been treading.

The door has been swung wide open to the possibility of a rate cut at the November meeting, with perhaps a larger than expected cut not entirely off the cards. Andrew Bailey stated this month the BoE could be "a bit more aggressive" if the news on inflation continued to be good. The latest figures would beg the question, how much better does it need to get?

With headline and core inflation tumbling, the BoE should feel confident about stepping up to the crease at its November meeting. With declining private sector wage growth, falling prices, and a Government focused on tax rises, an easing of the burden for the public will be welcome. Will the BoE play with a straight bat or will they look to go big and swing for the boundary? Today's numbers suggest they could well do the latter."

Ends

For further information contact:

Jo Thorne: jo.thorne@wealthclub.co.uk

Wealth Club

The aim of Wealth Club is simple. To provide high net worth individuals and sophisticated investors with clear, impartial and well researched information on investment opportunities not typically available through mainstream stockbrokers or financial advisers. Wealth Club was set up in February 2016 and is now the largest non-advisory broker of tax efficient investments such as VCTs, EIS and Inheritance Tax Portfolios. Since launch 11,500 clients have invested more than £1.375 billion through its platform. Wealth Club targets commercially compelling, high potential and high growth companies to back. In 2023, over 40% of Wealth Club's direct investments in private companies were oversubscribed.