17/06/2026
UK inflation remained at 2.8% in May, with slower food price increases helping to offset rising transport costs. Food inflation eased to its lowest level in 17 months, with price growth slowing across categories including meat, dairy and vegetables. Meanwhile, transport costs, including air fares and fuel, continued to put upward pressure on household budgets.
While inflation remains above the Bank of England's 2% target, the latest figures suggest that some of the cost pressures affecting everyday spending may be moderating. It is also a reminder that inflation is rarely driven by a single factor, with different sectors of the economy often moving in opposite directions at the same time.
Understanding what is driving inflation can help provide valuable context when assessing wider economic conditions, interest rate expectations and household finances.
[Source | BBC News 17/06/2026]