Sunshine heats up High Street sales

UK inflation unexpectedly fell in June, largely because of cheaper foreign holidays.

The underlying rate, which excludes mortgage interest payments, fell to 2.8% from 2.9% in May.

This keeps inflation above the government's 2.5% target.

The falls gives extra justification to the Bank of England's decision to cut interest rates last week to a 48-year low of 3.5%.