Annual inflation rate in the United Kingdom slowed sharply to 0.2 percent in August of 2020 from 1 percent in July, compared to forecasts of a flat reading. It is the lowest reading since December of 2015, amid a big fall in prices in restaurants and cafes, arising from the Eat Out to Help Out Scheme (-2.8 percent vs +1.8 percent in July). Other downward contributions came from lower air fares (-20.6 percent vs -1.9 percent) and clothing prices (-1.6 percent vs a flat reading). The largest, partially offsetting, upward contributions came from games, toys and hobbies (3.8 percent vs 1.6 percent); accommodation services (-1.8 percent vs -3.8 percent); road transport services (9.8 percent vs 5 percent) and second-hand cars (5.2 percent vs 2.5 percent). On a monthly basis, consumer prices fell 0.4 percent, the biggest drop since January of 2019.

Inflation Rate in the United Kingdom averaged 2.52 percent from 1989 until 2020, 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 September of 2020. source: Office for National Statistics

Inflation Rate in the United Kingdom is expected to be 0.20 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 1.80 in 12 months time. In the long-term, the United Kingdom Inflation Rate is projected to trend around 2.00 percent in 2021 and 1.70 percent in 2022, according to our econometric models.

Ok
Trading Economics members can view, download and compare data from nearly 200 countries, including more than 20 million economic indicators, exchange rates, government bond yields, stock indexes and commodity prices.

The Trading Economics Application Programming Interface (API) provides direct access to our data. It allows API clients to download millions of rows of historical data, to query our real-time economic calendar, subscribe to updates and receive quotes for currencies, commodities, stocks and bonds.

Please Paste this Code in your Website
width
height
United Kingdom Inflation Rate

Actual Previous Highest Lowest Dates Unit Frequency
0.20 1.00 8.50 -0.10 1989 - 2020 percent Monthly


Calendar GMT Actual Previous Consensus TEForecast
2020-06-17 06:00 AM May 0.5% 0.8% 0.5% 0.5%
2020-07-15 06:00 AM Jun 0.6% 0.5% 0.4% 0.6%
2020-08-19 06:00 AM Jul 1% 0.6% 0.6% 0.7%
2020-09-16 06:00 AM Aug 0.2% 1% 0% 0.1%
2020-10-21 06:00 AM Sep 0.2% 0.2%
2020-11-18 07:00 AM Oct
2020-12-16 07:00 AM Nov


News Stream
UK Inflation Rate Lowest since 2015
Annual inflation rate in the United Kingdom slowed sharply to 0.2 percent in August of 2020 from 1 percent in July, compared to forecasts of a flat reading. It is the lowest reading since December of 2015, amid a big fall in prices in restaurants and cafes, arising from the Eat Out to Help Out Scheme (-2.8 percent vs +1.8 percent in July). Other downward contributions came from lower air fares (-20.6 percent vs -1.9 percent) and clothing prices (-1.6 percent vs a flat reading). The largest, partially offsetting, upward contributions came from games, toys and hobbies (3.8 percent vs 1.6 percent); accommodation services (-1.8 percent vs -3.8 percent); road transport services (9.8 percent vs 5 percent) and second-hand cars (5.2 percent vs 2.5 percent). On a monthly basis, consumer prices fell 0.4 percent, the biggest drop since January of 2019.
2020-09-16
UK Inflation Rate at 4-Month High
Annual inflation rate in the UK jumped to 1% in July of 2020 from 0.6% in June, beating market forecasts of 0.6%. It is the highest reading since March, as the restrictions caused by the coronavirus pandemic have been eased. The largest contributions came clothing (-0.1% vs -2.2%), rising prices at the petrol pump (transportation prices were down 0.7% vs -1.6% in June), and furniture and household goods (0.8% vs -0.5%), namely single beds and bath sheets. In contrast, food inflation slowed (0.8% vs 1.1%), mainly due to fruit, vegetables (including potatoes and tubers), fish, meat, and milk, cheese and eggs. On a monthly basis, consumer prices went up 0.4%, after a 0.1% rise and beating forecasts of a 0.1% fall.
2020-08-19
UK Inflation Rate Beats Forecasts
Annual inflation rate in the United Kingdom edged up to 0.6 percent in June of 2020 from a 4-year low of 0.5 percent in May and beating market forecasts of 0.4 percent. Main upward contributions came from cost of recreation and culture (2.6 percent), namely computer games and computer games consoles, with the coronavirus lockdown changing the timing of demand and availability of such products. The UK allowed non-essential shops to reopen on June 15th. Other upward pressure also came from cost of clothing and footwear (-2.2 percent), possibly reflecting how retailers cut prices earlier than usual this year to shift goods during the lockdown; and health (2.1 percent). The largest, partially offsetting, downward contribution came from cost of food (1 percent), namely vegetables. On a monthly basis, prices were up 0.1 percent after a flat reading in May. Annual core inflation which excludes cost of energy, food, alcoholic beverages increased to 1.4 percent from 1.2 percent.
2020-07-15
UK Inflation Rate Falls to 4-Year Low in May
Britain's consumer price inflation dropped to 0.5 percent year-on-year in May, from 0.8 percent in the previous month and in line with market expectations. That was the lowest rate since June 2016, as the coronavirus pandemic hit demand and oil prices. There was a sharp decline in prices for transport (-1.7 percent vs -1.0 percent) in particular motor fuels (-16.7 percent vs -12.2 percent) and a slowdown in cost for a variety of recreational and cultural goods (2.0 percent vs 2.6 percent), restaurants and hotels (2.0 percent vs 2.4 percent) and miscellaneous goods and services (1.1 percent vs 1.3 percent). Additional downward pressure came from housing and utilities (-1.2 percent vs -1.1 percent) amid reduced household utility bills, and clothing and footwear (-3.1 percent vs -2.9 percent). At the same time, rising prices for food and non-alcoholic drinks resulted in a partially offsetting upward contribution to change (1.8 percent vs 1.3 percent).
2020-06-17

United Kingdom Inflation Rate
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.