17 May 2005, 13:05  Сonsumer prices rose in line with forecasts

Britain's inflation rate held steady at a near seven-year high in April, supported by water and sewerage charges, official figures showed on Tuesday. The Office for National Statistics said that consumer prices rose at an annual 1.9 percent last month, in line with forecasts but only just below the Bank of England's 2.0 percent target. The annual rate was unchanged from March. The ONS said household services charges increased by more than a year ago. Miscellaneous goods and services including steeper increases in banking service charges in April compared with last year were also large upward effects. Offsetting downward effects came from a fall in fresh vegetable prices on the month in April. Furniture also had a downward effect, thanks to widespread sales on many items in April after prices recovered strongly in the prior month. All goods prices rose an annual 0.2 percent, the highest rate in six years.

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