UK Core Inflation Lowest in Near 5 Years

2026-05-20 06:10 By Farida Husna 1 min. read

The UK’s annual core inflation rate eased to 2.5% in April 2026 from 3.1% in the prior month, slightly below market expectations of 2.6%.

It marked the lowest reading since July 2021, largely due to a sharp slowdown in core services inflation, which cooled to 3.2% from 4.5% in the previous month.

Meanwhile, goods inflation accelerated to 2.4% from 2.1%, indicating persistent price pressures in consumer goods.

On a monthly basis, core consumer prices rose 0.7%, easing short of forecasts for a 0.8% increase but picking up from March’s 0.6% gain.

The latest figure marked the third straight monthly rise and the fastest monthly pace in a year.



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UK Core Inflation Lowest in Near 5 Years
The UK’s annual core inflation rate eased to 2.5% in April 2026 from 3.1% in the prior month, slightly below market expectations of 2.6%. It marked the lowest reading since July 2021, largely due to a sharp slowdown in core services inflation, which cooled to 3.2% from 4.5% in the previous month. Meanwhile, goods inflation accelerated to 2.4% from 2.1%, indicating persistent price pressures in consumer goods. On a monthly basis, core consumer prices rose 0.7%, easing short of forecasts for a 0.8% increase but picking up from March’s 0.6% gain. The latest figure marked the third straight monthly rise and the fastest monthly pace in a year.
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