Inflation in the UK rose to 3.8 percent in July. This is higher than the 3.6 percent recorded in June and is considered the highest level in the last 18 months. The increase is mainly attributed to rising food and transport costs, as well as the largest jump in air ticket prices in 24 years.
The editorial office reports that price increases in the service sector also exceeded forecasts, reaching 5 percent. The Bank of England announced that it expects inflation to peak at 4 percent in September, and then gradually decrease. However, economists highlight the concern of policymakers regarding a rapid reduction in interest rates, emphasizing that inflation could be persistent.
Food prices increased by 4.9 percent compared to the same period last year. This increase was particularly affected by the prices of beef, chocolate, orange juice, and coffee.
Experts also consider recent tax increases as one of the main factors worsening citizens' living standards.
Farid Alizade