Island records drop in inflation

The rate of inflation in Guernsey has seen a slight drop.

Figures released by the Policy Council show the inflation rate dropped from 4.9% at the end of 2007 to 4.8% at the end of March.

Housing made up 1.2% of the total, although its contribution remains unchanged in the previous three months.

There were rises in the cost of alcohol, fuel, household goods and motoring. In contrast, the price of clothing and footwear fell.

The Retail Price Index (RPI) inflation figure, which excludes mortgage interest payments, has risen over the last quarter by 0.4% to 4.3%.