Updated
Updated · Bloomberg · Jul 22
UK Inflation Falls to 2.6% in June as Cheaper Fuel Undercuts 2.7% Forecast
Updated
Updated · Bloomberg · Jul 22

UK Inflation Falls to 2.6% in June as Cheaper Fuel Undercuts 2.7% Forecast

3 articles · Updated · Bloomberg · Jul 22

Summary

  • UK consumer prices rose 2.6% in the 12 months to June, down from 2.8% in May and below economists’ 2.7% forecast.
  • Cheaper motor fuel drove the slowdown, pulling inflation to its lowest level since March 2025 and offering some relief to household budgets.
  • The drop gives new Prime Minister Andy Burnham a more favorable backdrop as he pledges to tackle the cost of living.

Insights

Is the UK's inflation drop a false dawn before the Bank of England's predicted year-end price hike?
Can Britain's new PM fix the cost of living crisis while also adhering to strict fiscal discipline?