FX.co ★ UK Annual Inflation Rebounds to 2.9% in July, Ending Recent Cooling Trend

The United Kingdom’s consumer price inflation picked up in July 2026, with the year-over-year CPI rising to 2.9%, up from 2.6% in June 2026. The latest data, updated on 19 August 2026, marks a reversal of the previous month’s softer reading and suggests renewed price pressures in the economy.

Both the current and previous figures reflect annual changes, comparing each month’s price level with the same month a year earlier. June’s 2.6% reading had indicated a modest easing in inflation, but July’s increase to 2.9% highlights that underlying cost pressures have not fully dissipated. Market participants and policymakers will be watching upcoming releases closely to see whether this uptick proves temporary or signals a more persistent inflationary trend.