UK inflation fell to 1.6% in March, down from1.7% the previous month, according to the Office for National Statistics (ONS).
It is the third month in a row where inflation has been below the Bank of England's 2% target rate, and the lowest rate since October 2009.
It is also the sixth consecutive month that the rate of inflation has fallen, marking the longest consecutive fall since modern records began.
The largest factor behind the drop in the rate came from petrol prices. Fuel prices were static in March whereas prices in March 2013 were rising by more than 2%.
Another factor was a smaller rise in the prices of clothing and footwear than had been the case last year.
With inflation falling, the gap between average wage increases and the rise in prices has become smaller. Average total earnings rose 1.3% (excluding bonuses) in the three months to January compared with a year earlier, according to ONS figures released last month.
This means that the six-year squeeze on many households has continued to ease somewhat.
Businesses will also welcome the fall in the inflation rate.
