UK annual inflation accelerated to 2.9% in July, up from 2.6% in June, aligning with economist expectations.
UK annual consumer price inflation reached 2.9% in July, up from 2.6% in June, matching market forecasts. The increase marks the highest inflation rate since November 2023, driven by rising prices across multiple sectors.
The July print follows a 2.0% annual increase in May and a 2.6% rise in June. Core inflation, excluding volatile food and energy prices, also climbed, though specific figures were not immediately detailed. Economists had anticipated the 2.9% reading, citing persistent wage growth and service sector pressures.
Markets showed limited reaction to the data, as the outcome aligned with expectations. The Bank of England had previously signaled a cautious approach to rate cuts, with inflation remaining above its 2% target.