The Office for National Statistics (ONS) released the consumer price inflation data for the U.K. on Tuesday. The U.K. consumer price index declined to 0.3% in January from 0.5% in December, in line with expectations. That was the lowest level since 1989.

The drop was driven by lower fuel and food prices. Fuel prices decreased 8.5% in January, while food prices fell 2.8%.

Consumer price inflation excluding food, energy, alcohol and tobacco prices climbed to 1.4% in January from 1.3% the month before.

The Retail Prices Index declined to 1.1% in January from 1.6% in December.

The Bank of England's target is about 2%.