The Latest Breaking News from Inflation

Inflation in the United Kingdom rose in December for the first time in five months, pushing further above the Bank of England’s target

The prices of some common household goods saw an acceleration of inflation last month

A bright yellow “Sale” tag does not mean what it used to. In an environment of persistent inflation, retailers have mastered the art of the “fake sale,” using psychological triggers to make standard prices feel like bargains. Shoppers walking the aisles today are bombarded with signs screaming “Low Price” and…

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The rise is the first since July last year – but inflation is expected to start falling again in the Spring

The rise was driven by increases in airfares, transport costs and tobacco prices, and means any further cut to interest rates is unlikely

The rate of Consumer Prices Index inflation rose to 3.4% in December from 3.2% in November, the Office for National Statistics said.

UK inflation rose to 3.4 per cent in December, an increase from 3.2 per cent recorded in November 2025. The primary drivers for this increase included higher tobacco prices, following recently introduced excise duty increases, and increased airfares, likely due to the timing of return flights over the Christmas and…

UK inflation bounced back in December as tobacco duty hikes and Christmas getaways pushed up the cost of living.