UK inflation falls to 1.3 percent amid drops in air fares and fuel prices

Economic IndicatorsAssociated Press

Britain's Office for National Statistics says consumer price index inflation fell to a 12-year low of 1 percent in November, down from 1.3 percent the month before.

U.K. authorities said Tuesday the figure reflects drops in transport costs, notably for fuel, air travel and second-hand cars. Prices of recreational and cultural goods were also contributors to the slowdown.

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Bank of England Governor Mark Carney said last month that inflation is "more likely than not" to keep falling in the coming months and that growth will be slightly weaker due to a global slowdown.

The subdued inflation rate means it is less likely the bank will raise interest rates from a record low of 0.5 percent.