• Annual producer inflation slowed to 5.4% for output prices and to 13.4% for input prices

Commenting on the producer price figures published today by the ONS, David Kern, Chief Economist at the British Chambers of Commerce (BCC), said:

“The November figures show a further slowdown in the pace of inflation for both output and input producer prices. This will help to ease the squeeze on businesses and consumers and will reinforce the downward pressure on CPI inflation during 2012.

“These figures should reassure the MPC that it is right to persevere with expansionary monetary policy, and we hope to see a further increase in the QE programme early in the New Year.

“But this policy should be supplemented by other measures to support growth. The credit-easing programme announced by the Chancellor in the Autumn Statement must be implemented quickly, along with aggressive steps to reduce the burden of red tape on businesses.”


Notes to editors:

ONS: http://www.ons.gov.uk/ons/rel/ppi2/producer-price-index/november-2011/index.html

The British Chambers of Commerce (BCC) is the national voice of local business.

The BCC sits at the heart of a powerful nationwide network of Accredited Chambers of Commerce, serving over 100,000 businesses across the UK, which employ over five million people.

Media contacts:

Liz Larvin
Tel: 020 7654 5813 / 07825746812
Email: l.larvin@britishchambers.org.uk

Lisa Morrison
Tel: 020 7654 5812 / 07717682221
Email: l.morrison@britishchambers.org.uk