UK inflation rises to 3.8% in July

Core CPI also up to 3.8%

Sorin Dojan
clock • 2 min read

The UK Consumer Prices Index (CPI) rose to 3.8% in the 12 months up to July 2025, according to data from the Office for National Statistics (ONS), up from 3.6% in June.

This figure exceeded market forecasts, as economists surveyed by Reuters had anticipated a 3.7% figure instead. Core CPI rose by 3.8% year on year in July, up from 3.7% a month earlier, while the CPI services annual rate was up from 4.7% in June to 5% last month. According to ONS, transport, particularly air fares, was the largest contributor to the monthly upswing in both Consumer Prices Indices including owner occupiers' housing costs (CPIH) and CPI annual rates. The latest bout in inflation data complicates the path of interest rates, said Quilter investment strategist Lind...

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 Economics / Markets

Fahad Hassan: When good news becomes an inflation problem

Fahad Hassan: When good news becomes an inflation problem

'Markets have been adjusting to the risks through valuations all year'

Fahad Hassan
clock 29 September 2026 • 6 min read
Healey promises 'new age of industrialisation' ahead of Budget

Healey promises 'new age of industrialisation' ahead of Budget

Keeps quiet on personal taxation, pensions or savings at Labour’s conference

Isabel Baxter
clock 28 September 2026 • 2 min read
MPs warn policymakers to stop using OBR as scapegoat for tough fiscal decisions

MPs warn policymakers to stop using OBR as scapegoat for tough fiscal decisions

Treasury Committee report

clock 23 September 2026 • 2 min read