The rate was also a whisker away from the Bank of England's official target level of 2.0 percent. "Inflation eased mainly due to a big fall in petrol, with oil prices tumbling in recent months," said Mike Hardie, head of inflation at the ONS. "Air fares also helped push down the rate with seasonal prices rising less than they did last year. "These were partially offset by small rises in hotel prices and mobile phone charges."
The average cost of petrol slid 6.4p per litre on the month to 121.7 pence, which was the lowest since April 2018. The Bank of England is meanwhile tasked with using monetary policy as a tool to keep 12-month UK inflation close to 2.0 percent. Last month the BoE voted to keep its main interest rate at 0.75 percent, as it warned over "intensified uncertainties" surrounding Brexit.
British Prime Minister Theresa May will face a confidence vote later Wednesday, after MPs overwhelmingly rejected her deal on Britain leaving the European Union. The humiliating snub has raised concerns of a disorderly "no-deal" Brexit that would send fresh shockwaves across financial markets.