Inflation comes in under expectations at 7.9% but UK remains 'drastic outlier'

Core inflation falls to 6.9%

UK CPI has fallen further than expected in June, with the Office for National Statistics registering a reading of 7.9% compared to economist predictions of 8.2%, but the UK remains at odds with other developed nations.

Core inflation also came in below expectations, with a reading of 6.9% compared with predictions of 7.1%. While both measures have offered a positive surprise, investors, economists and the chancellor are veering on the side of caution. UK grocery price inflation sees biggest drop since March 2023 peak Chancellor Jeremy Hunt welcomed the lowest inflation reading since March 2022, but asserted HM Treasury was not "complacent" and acknowledged the "huge worry" high prices pose for businesses and families. He added: "The best and only way we can ease this pressure and get our econo...