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As the headline rate of inflation falls below 1% for first time in just under 4 years (on petrol price falls and energy cap) and heads towards zero as massive clothes discounting expected... but ONS has to come up “impute” with own number for 1 in 6 items in prices basket...
From butane to takeaway tea to electricians, men’s haircuts, women’s highlights, slimming clubs, manicures, football admissions, ten pin bowling, hotel stays, cinema popcorn - all unavailable and had to be “imputed” by ONS for inflation figures ons.gov.uk/economy/inflat…
M&S results v interesting too - in scenario planning for this fin year -not assuming rapid V shaped rebound in clothing, home international sales - only gets back to normal in last q of financial year - ie Jan-Mar 2021. Tho say they’ve substantially outperformed this so far in Q1
But like other clothes retailers massive overhang of stock to get rid of, cancel or “hibernate” till next season... this is why many economists expect substantial price cuts for Spring/Summer 2020 season stock from retailers more generally as stores reopen
And the M&S results acknowledge that “Customers may never shop the same way again” after the pandemic
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