UK Inflation Drops to 4.6%, Hitting Two-Year Low

UK inflation dropped more than expected in October, reaching a two-year low of 4.6% compared to the previous month's 6.7%. The decline was driven by decreases in housing and household services, as well as food and non-alcoholic beverages. The Bank of England, which aims to bring inflation down to its 2% target, recently kept its benchmark interest rate unchanged at 5.25%. Economists believe that while the drop in inflation is positive, it is primarily due to falling energy costs and rising interest rates rather than government action. The decrease in inflation may prompt the central bank to maintain interest rates at its December meeting, but further progress towards the 2% target is expected to be gradual.