UK CPI inflation rose to 3.6% YoY (vs 3.4% YoY expected) in June 2025, up from 3.4% YoY in May, with the monthly rate accelerating to 0.3% MoM (vs 0.2% MoM expected).

• Core CPI rose 0.4% MoM (vs 0.2% MoM expected) and 3.7% YoY (vs 3.5% YoY expected), up from 3.5% YoY and 0.2% MoM in May.
• Services prices increased 0.6% MoM, matching the monthly increase in June 2024, and the annual change remained at 4.7% YoY.
• Goods prices were flat in June, ahead of a -0.3% MoM drop in June 2025, and the annual change accelerated 0.4 ppts to 2.4% YoY.

• Transport inflation jumped to 1.7% YoY (from 0.7% YoY) and 0.7% MoM, driven by higher fuel prices. The segment was the largest contributor to the increase in the annual CPI rate from May to June.
• Alcohol and tobacco inflation accelerated to 6.4% YoY, up from 5.4% YoY in May, as the segment increased 0.5% MoM compared to a -0.4% MoM in June 2024.
• Clothing and footwear prices remained soft, up just 0.5% YoY and down -0.4% MoM (the only segment posting a monthly decline in June).