News

UK Inflation Rate Hits 13-Month Low
The annual inflation rate in the UK slowed to 2.8% in April 2026 from 3.3% in March, coming in below market expectations of 3.0% and marking the lowest reading since March last year. The moderation was mainly driven by a sharp slowdown in housing and household services inflation (1.4% vs 5.3% in March), following the introduction of an energy price cap by the UK’s energy regulator on April 1. Inflation also eased for transport (4.5% vs 4.7%), food and non-alcoholic beverages (3.0% vs 3.7%), alcohol and tobacco (2.8% vs 3.3%), health (2.4% vs 3.1%), and recreation and culture (1.7% vs 2.8%). Meanwhile, prices rebounded for clothing (0.7% vs -0.8%) and furniture and household goods (0.5% vs -0.4%). On a monthly basis, consumer prices increased by 0.7% in April, matching the pace recorded in the previous month.
Published on 2026-05-20

UK Inflation Rate Hits Lowest in a Year
The annual inflation rate in the UK slowed to 2.8% in April 2026 from 3.3% in March, coming in below market expectations of 3.0% and marking the lowest reading since March last year. The moderation was mainly driven by a sharp slowdown in housing and household services inflation (1.4% vs 5.3% in March), following the introduction of an energy price cap by the UK’s energy regulator on April 1. Transport costs also rose at a softer pace (4.5% vs 4.7%), as a downward effect from vehicle excise duty (VED) partly offset surging motor fuel prices, which climbed 23%, the highest annual increase since September 2022. Inflation also eased for food and non-alcoholic beverages (3.0% vs 3.7%), health (2.4% vs 3.1%), and recreation and culture (1.7% vs 2.8%). Meanwhile, prices rebounded for clothing (0.7% vs -0.8%) and furniture and household goods (0.5% vs -0.4%). On a monthly basis, consumer prices increased by 0.7% in April, matching the pace recorded in the previous period.
Published on 2026-05-20

UK Inflation Falls to Lowest in a Year
The annual inflation rate in the UK slowed to 2.8% in April 2026 from 3.3% in March, coming in below market expectations of 3.0% and marking the lowest reading since March last year. The moderation was mainly driven by a sharp slowdown in housing and household services inflation (1.4% vs 5.3% in March), following the introduction of an energy price cap by the UK’s energy regulator on April 1. Transport costs also rose at a softer pace (4.5% vs 4.7%), as a downward effect from vehicle excise duty (VED) partly offset surging motor fuel prices, which climbed 23%, the highest annual increase since September 2022. Inflation also eased for food and non-alcoholic beverages (3.0% vs 3.7%), health (2.4% vs 3.1%), and recreation and culture (1.7% vs 2.8%). Meanwhile, prices rebounded for clothing (0.7% vs -0.8%) and furniture and household goods (0.5% vs -0.4%). On a monthly basis, consumer prices increased by 0.7% in April, matching the pace recorded in the previous period.
Published on 2026-05-20

UK Inflation Rate Hits 13-Month Low
The annual inflation rate in the UK fell to 2.8% in April 2026, more than the expected easing to 3.0% and down from 3.3% in March. This marked the lowest reading since March last year, mainly driven by slower inflation for housing and household services (1.4% vs 5.3% in March), following the introduction of an energy price cap by the UK’s energy regulator on April 1. Transport costs also increased at a softer pace (4.5% vs 4.7%).
Published on 2026-05-20

UK Inflation Rate Hits 13-Month Low
The annual inflation rate in the UK slowed to 2.8% in April 2026 from 3.3% in March, coming in below market expectations of 3.0% and down from 3.3% in March. This marked the lowest reading since March last year, mainly driven by a sharp slowdown in housing and household services inflation (1.4% vs 5.3% in March), following the introduction of an energy price cap by the UK’s energy regulator on April 1. Inflation also eased for transport (4.5% vs 4.7%), food and non-alcoholic beverages (3.0% vs 3.7%), alcohol and tobacco (2.8% vs 3.3%), health (2.4% vs 3.1%), and recreation and culture (1.7% vs 2.8%). Meanwhile, prices rebounded for clothing (0.7% vs -0.8%) and furniture and household goods (0.5% vs -0.4%). On a monthly basis, consumer prices increased by 0.7% in April, matching the pace recorded in the previous period.
Published on 2026-05-20

UK Inflation Rate Edges Up in March
The annual inflation rate in the UK increased to 3.3% in March 2026, compared to 3% in each of the previous two months and in line with expectations. It is the highest reading in three months, with motor fuels making the largest upward contribution to the monthly change while clothing made the largest, partially offsetting, downward contribution.
Published on 2026-04-22

UK Inflation Rate Edges Up in March
The annual inflation rate in the UK rose to 3.3% in March 2026, up from 3% in each of the previous two months and in line with expectations. This marks the highest reading in three months. The increase was driven in part by transport costs, which rose by 4.7%, the fastest pace since December 2022. Motor fuels, in particular, climbed by 4.9%, making the largest upward contribution, largely due to the impact of the war with Iran. The average price of petrol increased by 8.6 pence per litre between February and March 2026 and diesel prices also rose sharply, up by 17.6 pence per litre. Housing and household services costs rose 4.3% (vs 4.2%), driven by a 95.3% surge in domestic heating oil prices, the highest increase since September 2022. Prices also accelerated for food and non-alcoholic beverages (3.7% vs. 3.3%) and services (4.5% vs. 4.3%). On the other hand, clothing prices fell by 0.8%, the steepest decline since March 2021. Compared to February, the CPI increased 0.7%.
Published on 2026-04-22

UK Inflation Rate Edges Up in March
The annual inflation rate in the UK rose to 3.3% in March 2026, up from 3% in each of the previous two months and in line with expectations. This marks the highest reading in three months. The increase was driven in part by transport costs, which rose by 4.7%, the fastest pace since December 2022. Motor fuels, in particular, climbed by 4.9%, making the largest upward contribution, largely due to the impact of the war with Iran. The average price of petrol increased by 8.6 pence per litre between February and March 2026 and diesel prices also rose sharply, up by 17.6 pence per litre. Housing and household services costs rose 4.3% (vs 4.2%), driven by a 95.3% surge in domestic heating oil prices, the highest increase since September 2022. Prices also accelerated for food and non-alcoholic beverages (3.7% vs. 3.3%) and services (4.5% vs. 4.3%). On the other hand, clothing prices fell by 0.8%, the steepest decline since March 2021. Compared to February, the CPI increased 0.7%.
Published on 2026-04-22

UK Inflation Rate Steady at 3%
The annual inflation rate in the UK steadied at 3% in February 2026, the same as in January and in line with expectations, remaining at the lowest level since March 2025. Clothing made the largest upward contribution, with prices rising 0.9%, the first increase in four months. Prices normally rise in February as the spring product ranges start to enter the shops following the new year sales period. Prices also rose at a faster pace for housing and utilities (4.6% vs 4.5%). On the other hand, prices slowed for transport (2.4% vs 2.7%), with the largest downward effect coming from motor fuels, where the average price of petrol fell by 1.6 pence per litre between January and February 2026, compared with a rise of 2.0 pence per litre between January and February 2025. A slowdown was also seen for food (3.3% vs 3.6%), recreation and culture (2.5% vs 2.6%), and restaurants and hotels (4% vs 4.1%). Services inflation also edged down to 4.3% from 4.4%
Published on 2026-03-25

UK Inflation Rate Steady at 3%
The annual inflation rate in the UK steadied at 3% in February 2026, the same as in January and in line with expectations. Clothing made the largest upward contribution, with prices rising 0.9%, the first increase in four months. Prices normally rise in February as the spring product ranges start to enter the shops. Prices also rose at a faster pace for housing and utilities (4.6% vs 4.5%). On the other hand, inflation slowed for transport (2.4% vs 2.7%), with the average price of petrol falling by 1.6 pence per litre between January and February 2026, compared with a rise of 2.0 pence per litre last year. A slowdown was also seen for food (3.3% vs 3.6%), recreation and culture (2.5% vs 2.6%), and restaurants and hotels (4% vs 4.1%). Services inflation also edged down to 4.3% from 4.4%. Compared to the previous month, the CPI rose 0.4%, recovering from a 0.5% fall in January and matching forecasts. Annual core inflation unexpectedly edged up to 3.2% from 3.1%.
Published on 2026-03-25

UK Inflation Rate Steady at 3%
The annual inflation rate in the UK steadied at 3% in February 2026, the same as in January and in line with expectations. Clothing made the largest upward contribution, with prices rising 0.9%, the first increase in four months. Prices normally rise in February as the spring product ranges start to enter the shops. Prices also rose at a faster pace for housing and utilities (4.6% vs 4.5%). On the other hand, inflation slowed for transport (2.4% vs 2.7%), with the average price of petrol falling by 1.6 pence per litre between January and February 2026, compared with a rise of 2.0 pence per litre last year. A slowdown was also seen for food (3.3% vs 3.6%), recreation and culture (2.5% vs 2.6%), and restaurants and hotels (4% vs 4.1%). Services inflation also edged down to 4.3% from 4.4%. Compared to the previous month, the CPI rose 0.4%, recovering from a 0.5% fall in January and matching forecasts. Annual core inflation unexpectedly edged up to 3.2% from 3.1%.
Published on 2026-03-25

UK Inflation Falls to 3.0% in January
UK consumer price inflation eased to 3.0% in January 2026, down from 3.4% in December and in line with market expectations. This marks the lowest annual inflation rate since March 2025, primarily driven by softer increases in transport and food prices. Transport costs rose by 2.7% year-on-year, slowing from 4.0% in December, as fuel prices fell and air fare inflation moderated. Meanwhile, food and non-alcoholic beverage prices increased by 3.6%, down from 4.5% the previous month. Inflation also eased in housing and utilities (4.5% vs. 4.9%) and recreation and culture (2.6% vs. 2.7%). However, price growth in restaurants and hotels accelerated to 4.1%, up from 3.8%. Core inflation, which excludes more volatile components such as food and energy, declined to 3.1% in January, its lowest level since August 2021, suggesting underlying price pressures are gradually moderating. On a monthly basis, consumer prices fell by 0.5%, reversing a 0.4% increase recorded in December.
Published on 2026-02-18

UK Inflation Falls to 3.0% in January
UK consumer price inflation eased to 3.0% in January 2026, down from 3.4% in December and in line with market expectations. This marks the lowest annual inflation rate since March 2025, primarily driven by softer increases in transport and food prices. Transport costs rose by 2.7% year-on-year, slowing from 4.0% in December, as fuel prices fell and air fare inflation moderated. Meanwhile, food and non-alcoholic beverage prices increased by 3.6%, down from 4.5% the previous month. Inflation also eased in housing and utilities (4.5% vs. 4.9%) and recreation and culture (2.6% vs. 2.7%). However, price growth in restaurants and hotels accelerated to 4.1%, up from 3.8%. Core inflation, which excludes more volatile components such as food and energy, declined to 3.1% in January, its lowest level since August 2021, suggesting underlying price pressures are gradually moderating. On a monthly basis, consumer prices fell by 0.5%, reversing a 0.4% increase recorded in December.
Published on 2026-02-18

UK Inflation Ticks Higher in December
UK consumer price inflation rose to 3.4% in December 2025, up from November’s eight-month low of 3.2% and slightly above market expectations of 3.3%. The year-end acceleration in inflation, which may complicate the Bank of England’s efforts to steer price growth back toward its 2% target, was primarily driven by faster price increases in alcohol and tobacco (5.2% vs. 4.0% in November) and transport (4.0% vs. 3.7%). Services inflation, closely watched by the BOE as a measure of domestic price pressures, edged up to 4.5% from 4.4%, a smaller-than-expected increase. Additional upward pressure came from food and non-alcoholic beverages (4.5% vs. 4.2%), restaurants and hotels (3.8% vs. 3.5%), and miscellaneous goods and services (2.2% vs. 2.1%). Meanwhile, core inflation, which excludes volatile items such as unprocessed food and energy, remained unchanged at 3.2%, holding at its lowest level since December 2024.
Published on 2026-01-21

UK Inflation Ticks Higher in December
UK consumer price inflation rose to 3.4% in December 2025, up from November’s eight-month low of 3.2% and slightly above market expectations of 3.3%. The year-end acceleration in inflation, which may complicate the Bank of England’s efforts to steer price growth back toward its 2% target, was primarily driven by faster price increases in alcohol and tobacco (5.2% vs. 4.0% in November) and transport (4.0% vs. 3.7%). Additional upward pressure came from food and non-alcoholic beverages (4.5% vs. 4.2%), restaurants and hotels (3.8% vs. 3.5%), and miscellaneous goods and services (2.2% vs. 2.1%). These increases were partly offset by easing inflation in housing and utilities (4.9% vs. 5.1%) and recreation and culture (2.7% vs. 2.9%). Meanwhile, core inflation, which excludes volatile items such as unprocessed food and energy, remained unchanged at 3.2%, holding at its lowest level since December 2024.
Published on 2026-01-21

UK Inflation Ticks Higher in December
UK consumer price inflation rose to 3.4% in December 2025, up from November’s eight-month low of 3.2% and slightly above market expectations of 3.3%. The year-end acceleration in inflation, which may complicate the Bank of England’s efforts to steer price growth back toward its 2% target, was primarily driven by faster price increases in alcohol and tobacco (5.2% vs. 4.0% in November) and transport (4.0% vs. 3.7%). Additional upward pressure came from food and non-alcoholic beverages (4.5% vs. 4.2%), restaurants and hotels (3.8% vs. 3.5%), and miscellaneous goods and services (2.2% vs. 2.1%). Services inflation, closely watched by the BOE as a measure of domestic price pressures, edged up to 4.5% from 4.4%, a smaller-than-expected increase. Meanwhile, core inflation, which excludes volatile items such as unprocessed food and energy, remained unchanged at 3.2%, holding at its lowest level since December 2024.
Published on 2026-01-21

UK Inflation Ticks Higher in December
UK consumer price inflation rose to 3.4% in December 2025, up from November’s eight-month low of 3.2% and slightly above market expectations of 3.3%. This year-end acceleration, the first since July, could complicate the Bank of England’s efforts to guide inflation back toward its 2% target, though the rise is expected to be temporary thanks to government interventions. The increase was largely driven by higher prices for alcohol and tobacco, which jumped to 5.2% from 4.0% in November due to the timing of tobacco duty changes, and transport costs, which rose to 4.0% from 3.7% on the back of higher airfares. Additional upward pressure came from food and non-alcoholic beverages (4.5% vs. 4.2%). Services inflation, a key gauge of domestic price pressures for the BOE, edged up slightly to 4.5% from 4.4%, below expectations. Core inflation, which excludes volatile items like unprocessed food and energy, remained steady at 3.2%, marking its lowest level since December 2024.
Published on 2026-01-21

UK Inflation Ticks Higher in December
UK consumer price inflation rose to 3.4% in December 2025, up from November’s eight-month low of 3.2% and slightly above market expectations of 3.3%. This year-end acceleration, the first since July, could complicate the Bank of England’s efforts to guide inflation back toward its 2% target, though the rise is expected to be temporary thanks to government interventions. The increase was largely driven by higher prices for alcohol and tobacco, which jumped to 5.2% from 4.0% in November due to the timing of tobacco duty changes, and transport costs, which rose to 4.0% from 3.7% on the back of higher airfares. Additional upward pressure came from food and non-alcoholic beverages (4.5% vs. 4.2%). Services inflation, a key gauge of domestic price pressures for the BOE, edged up slightly to 4.5% from 4.4%, below expectations. Core inflation, which excludes volatile items like unprocessed food and energy, remained steady at 3.2%, marking its lowest level since December 2024.
Published on 2026-01-21

UK Inflation Ticks Higher in December
UK consumer price inflation rose to 3.4% in December 2025, up from November’s eight-month low of 3.2% and slightly above market expectations of 3.3%. The year-end acceleration in inflation may complicate the Bank of England’s efforts to steer price growth back toward its 2% target. The uptick was primarily driven by faster price increases in alcohol and tobacco (5.2% vs. 4.0% in November) and transport (4.0% vs. 3.7%). Additional upward pressure came from food and non-alcoholic beverages (4.5% vs. 4.2%), restaurants and hotels (3.8% vs. 3.5%), and miscellaneous goods and services (2.2% vs. 2.1%). These increases were partly offset by easing inflation in housing and utilities (4.9% vs. 5.1%) and recreation and culture (2.7% vs. 2.9%). Meanwhile, core inflation, which excludes volatile items such as unprocessed food and energy, remained unchanged at 3.2%, holding at its lowest level since December 2024.
Published on 2026-01-21

UK Inflation Rate Falls More than Expected
The annual inflation rate in the UK slowed to 3.2% in November 2025, the lowest in eight months, compared to 3.6% in October and forecasts of 3.5%. The figure is also lower than the Bank of England's prediction of 3.4%. The largest downward contribution came from prices for food and non-alcoholic beverages (4.2% vs 4.9%), particularly bread and cereals, where the prices of products such as cakes, biscuits and breakfast cereals fell this year. Prices also slowed for alcohol and tobacco (4% vs 5.9%), reaching the lowest since December 2022; transport (3.7% vs 3.8%); and housing and utilities (5.1% vs 5.2%), including actual rents for housing (3.8% vs 4.1%). Services inflation eased to 4.4% from 4.5%, below the central bank forecasts of 4.5%. In addition, cost fell for clothing and footwear (-0.6% vs 0.3%), mostly women's clothing. Prices for recreation and culture rose 2.9%, the same as in October. Compared to the previous month, the CPI fell 0.2%, the biggest decline since July 2024.
Published on 2025-12-17