Consumer price inflation in the United Kingdom dropped to 6.8% in July 2023 from 7.9% in June, pointing to the lowest level since February 2022 and matching market consensus, mainly due to a slump in fuel prices. Additionally, the core rate, which excludes volatile items such as energy and food, was at 6.9 %, unchanged from June's reading but remained outside the Bank of England's 2.0% target, providing the central bank with room to continue the ongoing policy tightening path. Transport prices declined further (-2.1% vs -1.8% in June), pressured by a 24.9% slump in cost of fuels and lubricants. There were also notable downward effects from food and non-alcoholic beverages (14.8% vs 17.3%), furniture and household goods (6.2% vs 6.5%), recreation and culture (6.5% vs 6.7%). and miscellaneous goods and services (6.0% vs 6.5%). On a monthly basis, consumer prices fell by 0.4%, the first decline since January, compared with consensus of a 0.5% decrease and after a 0.1% rise in June. source: Office for National Statistics
Inflation Rate in the United Kingdom averaged 2.80 percent from 1989 until 2023, reaching an all time high of 11.10 percent in October of 2022 and a record low of -0.10 percent in April of 2015. This page provides - United Kingdom Inflation Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. United Kingdom Inflation Rate - data, historical chart, forecasts and calendar of releases - was last updated on August of 2023.
Inflation Rate in the United Kingdom is expected to be 5.80 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the United Kingdom Inflation Rate is projected to trend around 2.50 percent in 2024 and 1.70 percent in 2025, according to our econometric models.