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Economics7d 21h ago

UK inflation was steady at 2.8% last month, raising hopes that the impact of the Middle East war on the cost of living could be more muted than first feared.

UK

Who
economists, Bank of England, Bank of England’s governor Andrew Bailey, Andrew Wishart of Berenberg bank, Office for National Statistics (ONS)
What
UK inflation was steady at 2.8% last month, raising hopes that the impact of the Middle East war on the cost of living could be more muted than first feared.
When
Wed, 17 Jun 2026 09:27:33 GMT · 7d 21h ago
Where
UK ·
Why
Expectations that the Middle East war and disruption to oil supplies through the Strait of Hormuz would cause rocketing UK inflation have not materialized as severely as initially feared.
The Frontline Impact

How this affects you

The unexpectedly stable inflation data in the UK suggests fuel price rises have not widely affected the economy, leading economists to downgrade inflation forecasts and cast doubt on future interest rate hikes, despite higher motor fuel costs and lingering above-target inflation.

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