United Kingdom: Inflation comes in at highest level since January 2024 in July
Latest reading: Inflation increased to 3.8% in July, following June’s 3.6%. July’s figure was the highest inflation rate since January 2024, was above market expectations, and was near double the Bank of England’s 2.0% target. The uptick was due to higher transportation costs, amid airfare hikes linked to summer holidays.
The trend pointed up slightly, with annual average inflation coming in at 2.8% in July (June: 2.7%). Meanwhile, core inflation was stable, coming in at June’s 3.7% in July.
Lastly, consumer prices rose 0.06% in July over the previous month, coming in below June’s 0.32% increase. July’s result marked the weakest reading since January.