Rishi Sunak was handed a massive general election boost after inflation plunged to its lowest level in almost three years.
The Prime Minister said the rate is “back to normal” as official figures showed it dropped to 2.3% last month.
The fall will help ease the cost of living pain for millions up and down the country.
It means inflation is at its lowest level since July 2021 when it was recorded at 2% – the Bank of England’s target level.
Hailing the “milestone”, Mr Sunak said: “Today marks a major moment for the economy, with inflation back to normal.
“This is proof that the plan is working and that the difficult decisions we have taken are paying off.
“Brighter days are ahead, but only if we stick to the plan to improve economic security and opportunity for everyone.”
It comes just a day after the International Monetary Fund (IMF) upgraded the UK’s growth forecast for the year, predicting the economy will grow faster than that of any other large European country over the next six years.
Inflation is a measure of how much the prices of everyday goods such as food and clothes, and services such as train tickets and haircuts, have increased compared to a year earlier.
In further good news, the IMF also said the Bank of England has scope to cut interest rates up to three times this year.
It recommends cutting the current rate of 5.25% to either 4.75% or 4.5% by the end of the year.
The triple-whammy of welcome news couldn’t come at a better time for Mr Sunak as seeks to persuade voters that the economy is in safe hands, ahead of a general election this year.
Earlier this month officials said Britain’s economy is “going gangbusters” as it surges out of a mini-slump.
The Office for National Statistics said a big drop in energy prices was the main reason why inflation was lower last month.
Gas and electricity prices plunged by more than a quarter in the year to April, the largest fall on record.
Food and drink price rises also slowed for the 13th month in a row to 2.9% in April, from 4% in March, and the lowest level since November 2021.
However, services inflation, which looks only at service-related categories like hospitality, culture and education, declined by significantly less than economists had predicted.
It dipped slightly from 6% in March to 5.9% in April, when analysts had forecast a rate of 5.4% for the latest month.
This was driven by stubborn price rises across restaurants and hotels, with the rate of inflation increasing to 6% in April from 5.8% in March.
Average petrol prices also rose by 3.3p per litre between March and April, the ONS said.
Shadow chancellor Rachel Reeves said: “Inflation has fallen but now is not the time for Conservative ministers to be popping champagne corks and taking a victory lap.
“After 14 years of Conservative chaos, families are worse off. Prices in the shops have soared, mortgage bills have risen and taxes are at a 70-year high.”
The IEA’s Julian Jessop said the fall in inflation was “big step in the right direction.”
