Annual inflation rate in the UK increased to 2.5% in June of 2021 from 2.1% in May, above market forecasts of 2.2%. It is the highest inflation rate since August of 2018, with transport making the biggest upward impact (7.2%) while a low base effect from last year is also weighing. Also, prices for second-hand cars (5.6%), clothing and footwear (3%), eating and drinking out, and motor fuel (20.3%) rose in 2021 but mostly fell in 2020, resulting in the largest upward contributions to the change in the CPI which were partially offset by a large downward contribution from games, toys and hobbies (-0.9%), where prices fell this year but rose a year ago. Cost of food and non alcoholic beverages was down 0.6%. The BoE predicts inflation will exceed 3% although price pressures should be transitory. source: Office for National Statistics
Inflation Rate in the United Kingdom averaged 2.48 percent from 1989 until 2021, reaching an all time high of 8.50 percent in April of 1991 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 July of 2021.
Inflation Rate in the United Kingdom is expected to be 2.30 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in the United Kingdom to stand at 1.90 in 12 months time. In the long-term, the United Kingdom Inflation Rate is projected to trend around 1.70 percent in 2022 and 1.80 percent in 2023, according to our econometric models.