UK inflation falls to 2.8% in February in boost to chancellor

Spring Forecast takes place today

Linus Uhlig
clock • 2 min read

UK inflation fell further than expected in February, dropping from 3% to 2.8%, as Chancellor Rachel Reeves prepares to deliver her Spring Forecast later today (26 March).

According to the Office for National Statistics (ONS), the UK Consumer Prices Index (CPI) fell unexpectedly to 2.8% in February, while core inflation continued to remain sticky at 3.5%.  The figures for the 12 months to February came in slightly below the 2.9% forecast by economists polled by Reuters and marked a 0.2 percentage point drop from January's 3% levels.  The readings will leave the chancellor and the Bank of England (BoE) "somewhat relieved", said Aberdeen's deputy chief economist Luke Bartholomew.  In response to the data, Darren Jones, chief secretary to the Treasury, ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on UK

UK interest rates expected to be cut to 4% today
UK

UK interest rates expected to be cut to 4% today

Comes amid labour market 'weakening'

Patrick Brusnahan
clock 07 August 2025 • 2 min read
Cash ISAs get reform rumours boost
UK

Cash ISAs get reform rumours boost

Deposits up by £2.2bn in Q2

Patrick Brusnahan
clock 29 July 2025 • 1 min read
London Stock Exchange mulls launch of 24-hour trading – reports
UK

London Stock Exchange mulls launch of 24-hour trading – reports

Comes amid growing demand

Cristian Angeloni
clock 21 July 2025 • 1 min read