UK inflation holds steady at 2% as stubborn services prices dash rate cut hopes

Remains at the BoE’s target level

UK inflation stood steady at 2% in June, unchanged from the figures released the prior month.

Core CPI, which excluded food, alcohol and tobacco, reached 3.5% in the year to June, the same as a month before, according to figures published by the Office for National Statistics today (17 July). Services inflation, a closely watched measure by the Bank of England's rate-setters, also remained sticky, refusing to come down from the May figure and remaining instead unchanged at 5.7% in June. UK inflation returns to 2% target but June BoE cut remains unlikely The latest data came in as the BoE's Monetary Policy Committee considers whether to start cutting interest rates at its ne...