United Kingdom Inflation Rate

Last Release

Jan 31, 2025

Actual

Units In

2.5

Frequency

Monthly

Next Release

Mar 26, 2025

Time to Release

1 Months 2 Days 6 Hours

Highest	Lowest	Average	Date Range	Source
11.1 Oct 2022	-0.1 Apr 2015	2.82 %	1989-2025	Office for National Statistics

In the United Kingdom, the most important categories in the consumer price index are Transport (16 percent of the total weight) and Recreation and Culture (15 percent). Housing, Water, Electricity, Gas and Other Fuels accounts for 13 percent; Restaurants and Hotels for 12 percent and Food and Non-alcoholic Beverages for 10 percent. The index also includes: Miscellaneous Goods and Services (9 percent); Clothing and Footwear (7 percent); Furniture, Household Equipment and Maintenance (6 percent). Alcoholic Beverages and Tobacco; Health, Communication and Education account for remaining 11 percent of total weight.

Latest Updates

The annual inflation rate in the UK accelerated sharply to 3% in January 2025, the highest since March 2024, from 2.5% in the previous month and above forecasts of 2.8%. The largest upward contributions came from transport (1.7% vs -0.6%), mostly upward effects from air fares and from motor fuels, partially offset by a downward effect from secondhand cars; and food and non-alcoholic beverages (3.3% vs 2.5%), mostly meat and bread and cereals. Prices also increased at a faster pace for recreation and culture (3.8% vs 3.4%) and education (7.5% vs 5%) due to inclusion of 20% value-added tax on private school fees. Services inflation rose to 5% from 4.4% in the previous month but was below the BoE's prediction of 5.2%. Meanwhile, prices slowed for restaurants and hotels (3.3% vs 3.4%), housing and utilities (2.1% vs 3.1%). Annual core inflation rose to 3.7% from 3.2%, matching forecasts. Compared to the previous month, the CPI declined 0.1%, less than forecasts of a 0.3% drop.