Why UK inflation rate appears divorced from reality but could change

VAT cut for hospitality sector, which is meant to end in January, is one of main drags on CPI

• UK inflation rises on back of increase in clothing prices

Inflation, the official figures tell us, hardly exists. It is so low, and stable, that it should not be a talking point.

The annual increase in average prices crept up to 0.7% last month, from 0.5% in September. That means the basket of goods and services used by the Office for National Statistics to judge consumer price inflation (CPI) has barely moved over the last year.