Britain’s Inflation Rate Slows to 10.7 Percent

The rate of inflation in Britain fell from a 41-year high in November.

Despite this tentative sign that inflation might have peaked, Britain is still gripped by a cost-of-living crisis as wages fail to keep up with inflation and households are squeezed by high energy bills. A growing wave of labor unrest is prompting Britons to face a decline in living standards over the next two years. Railroad and postal workers are on strike on Wednesday, while nurses are going to walk off the job on Thursday.

In November, prices increased by 0.4 percent from the previous month, when they increased by 2 percent. The Bank of England has raised interest rates to try to keep inflation in check. The data showed that inflation in the US slowed more than expected.

Core inflation, which excludes energy and food prices, slowed to an annual rate of 6.3 percent in Britain. The lower inflation rate can be attributed to a decrease in transportation prices, as well as clothing and recreation services, and a rise in restaurant and grocery prices.

The Bank of England wants a 2 percent inflation rate. Policymakers are expected to raise interest rates by half a percentage point on Thursday.