The fall in the headline inflation rate was the first fall since September last year.

The Office for National Statistics said “by far the largest downward contribution” came from transport costs, particularly motor fuels and air fares.

The core inflation rate, meanwhile, fell from 2.4% to 2% – the lowest level since November 2009.

Capital Economics noted this may have “reflected the timing of Easter, which fell in March this year but in April 2012”.

“Inflation still looks set to climb again in the coming months as we reach the anniversary of a period of falling petrol prices and deep discounting on the high street. However, the peak, probably in June, could now be closer to 3% than the 3.5% we had expected beforehand,” said UK economist Samuel Tombs.

The Bank of England’s quarterly inflation report, published last week, reaffirmed its prediction that inflation will peak above 3% in the third quarter of 2013.

The pound dropped further against the dollar despite the better-than-expected data, down 0.4% at $1.5184 after the data was released.