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Economic Buzz: UK inflation holds steady as core price pressures edge higher
25-Mar-2026 13:00
UK inflation remained stable in February 2026, according to data from the Office for National Statistics. The Consumer Prices Index including owner occupiers' housing costs (CPIH) rose 3.2% over the 12 months, unchanged from January. On a monthly basis, CPIH increased by 0.4%, the same rate seen in February 2025.

The Consumer Prices Index (CPI) also held steady, rising 3.0% year-on-year in February, with a monthly increase of 0.4%, matching last year's pace.

Clothing prices were the main driver of the monthly rise in inflation, while falling motor fuel prices helped offset some of the increase.

Core inflation showed a slight uptick. Core CPIH, which excludes energy, food, alcohol and tobacco, rose 3.4% annually, up from 3.3% in January. Goods inflation under CPIH remained unchanged at 1.6%, while services inflation eased slightly to 4.2% from 4.3%.

Similarly, core CPI increased to 3.2% from 3.1%. Goods inflation stayed at 1.6%, while services inflation edged down to 4.3% from 4.4%.

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