UK inflation rises to 3.6% in June, exceeding expectations

Transport and housing costs drive annual increase as core inflation also climbs

By Gokhan Ergocun

ISTANBUL (AA) - The United Kingdom’s annual inflation rate climbed to 3.6% in June, up from 3.4% in May, according to official figures released Wednesday.

The Office for National Statistics (ONS) said the monthly inflation rate also rose, from 0.1% in May to 0.3% in June.

Both figures surpassed market expectations, which had forecast 3.4% annually and 0.2% monthly for June.

On a yearly basis, the highest price increases were recorded in education at 7.5%, housing and household services at 6.7%, and food and non-alcoholic beverages at 6.4%.

The ONS noted that transport costs -- particularly motor fuels -- made the largest contribution to the monthly rise.

Core inflation, which excludes energy, food, alcohol and tobacco, reached 3.7% in the 12 months to June 2025, up from 3.5% the previous month.

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