Low inflation is generally desired by economists. This time it is somewhat different as low inflation reflects low consumer activity and low demand. Emergency money pumping hasn’t yet resulted in any detectable levels of inflation. In long term it will have negative effects on economy.
Inflation in Britain slowed to 0.5 percent year-on-year in May, the lowest level since 2016. Consumer prices were depressed by the fall in fuel prices and also lower prices for, for example, clothing and footwear, according to the British National Statistical Office.
British inflation amounted to 0.8 percent in April. Many stores in the UK were closed in May due to quarantine measures against the corona virus. Supermarkets were open and food prices increased.
