Philip Shaw, Investec
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Inflation figures: 'A bit of cheer', says economist

The latest inflation figures show the rising cost of living could be beginning to slow down.

The Office for National Statistics says the Consumer Prices Index (CPI) measure dropped from 4.5% to 4.2% in June.

The Retail Prices Index (RPI) measure - which includes interest payments - also fell, from 5.2% to 5%.

Philip Shaw, chief economist from Investec, told the BBC the figures were encouraging, but had to be treated with caution.

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