UK Inflation Cools to 2.6% in June, Undercutting Forecasts Ahead of the BoE's July 30 Decision

• ▸UK CPI inflation eased to 2.6% in the 12 months to June 2026, down from 2.8% in May and below the 2.7% economists had forecast, the ONS reported on July 22, 2026.
• ▸Core CPI, which strips out energy, food, alcohol and tobacco, held steady at 2.6%, while services inflation slowed from 3.7% to 3.6% and goods inflation eased from 2.0% to 1.7%.
• ▸The release lands a week before the Bank of England's July 30 rate decision, giving the Monetary Policy Committee a cooler-than-expected reading to weigh against still-elevated services inflation.