U.K. inflation comes in shy of forecasts, just a day before the Bank of England decides interest rates.
Inflation in the U.K. surprisingly eased in August against expectations it would accelerate, a welcome showing for central bankers just a day ahead of an interest-rate decision.
The ONS said the largest downward contributions came from food, where inflation slowed to a 13.6% rate from 14.9% in July and a March peak of 19.2%. Restaurant and hotel prices slowed to 8.3% from 9.6%, the lowest rate since May 2022. Recreation and culture goods and services saw inflation weaken to 6% from 6.8%.
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