UK inflation in surprise fall to 6.7% despite rise in fuel prices

hl.co.uk:

We don’t support this browser anymore.
This means our website may not look and work as you would expect. Read more about browsers and how to update them here.

Newsroom

Newsroom articles are published by leading news agencies. Hargreaves Lansdown is not responsible for an article's content and its accuracy. We may not share the views of the author.

HL Podcast

HL Insight

UK inflation unexpectedly fell in August to 6.7% despite a sharp rise in average fuel prices for motorists, easing some of the pressure on the Bank of England to raise interest rates.

Article originally published by The Guardian. Hargreaves Lansdown is not responsible for its content or accuracy and may not share the author's views. News and research are not personal recommendations to deal. All investments can fall in value so you could get back less than you invest.

Published by

20 Sep 2023

UK inflation unexpectedly fell in August to 6.7% despite a sharp rise in average fuel prices for motorists, easing some of the pressure on the Bank of England to raise interest rates.

In a crunch week for the economy, the Office for National Statistics said the annual inflation rate as measured by the consumer prices index continued to drop for the sixth month in a row from a reading of 6.8% in July. City economists had forecast a modest increase to 7%.

The reduction in the inflation rate does not mean that prices are falling, only that they are rising at a slower pace.

It comes with financial markets poised for the Bank of England to raise interest rates for the 15th consecutive time on Thursday, in what many economists expect to be the final move since it began to increase borrowing costs in December 2021.

Falling prices for hotels and air fares helped pull