Eurozone inflation falls sharply as energy prices drop

The skyline in Paris, France. Eurozone core inflation rose slightly in March, from 5.6% to a new record high of 5.7%. Photograph: Aurélien Morissard/AP

The eurozone’s annual inflation rate fell sharply in March as plunging energy prices eased pressure on the cost of living across the 20 countries that use the single currency.

Amid signs that upward pressure on prices is easing, the EU’s statistical agency Eurostat said the headline inflation rate dropped from 8.5% in February to 6.9% this month.