UK inflation fell in July

Annual inflation in the UK was 6.8 percent in July, in line with expectations, while core inflation was unchanged at 6.9 percent.

Annual inflation fell to 6.8 percent in July, from 7.9 percent in June, according to data from the Office for National Statistics. The fall in gas and electricity prices was the engine behind the slowdown in inflation.

Core inflation, which excludes energy and food prices, held steady at an annual 6.9 percent in July, while food inflation fell to 14.8 percent.

Inflation in the service sector was 7.4 percent annually in July. Service sector inflation, which is closely watched by the Bank of England (BoE) in terms of monetary policy decisions, was 7.2 percent annually in June.

LOWEST LEVEL SINCE FEBRUARY 2022

ONS Deputy Director of Prices Matthew Corder, in his assessment of the data, said that although food inflation is still high, prices for staples such as milk and bread have eased, while core inflation it has remained unchanged due to the high course of services. prices.

Prime Minister Rishi Sunak, formerly known as Twitter, said in a statement on social media platform X, stating that reducing inflation is his first priority, saying: “As Prime Minister, I am determined to build a better economy. This starts with preventing inflation. Today’s news shows that the plan is working. “If we stick to the plan, we will reduce inflation,” he said.

British Chancellor of Finance Jeremy Hunt also claimed that his determined steps to reduce inflation worked and inflation fell to its lowest level since February 2022.

Noting that price increases have slowed, Hunt said: “We’re not there yet. “We must stick to our plan to cut inflation in half this year and then bring it down to our 2 percent target,” he said. (AA)