UK's annual inflation eases to 9.9%, unexpectedly lower than estimates

By Aysu Bicer

ANKARA (AA) - The UK's annual inflation went down to 9.9% in August, an unexpected fall from the market forecast of 10.2%, according to data released by the Office for National Statistics.

The inflation figure for July was 10.1%, the highest since January 1997.

A fall in the price of motor fuels pushed the inflation rate down, while rising food prices made the largest, partially offsetting, upward contribution to the figure.

"The annual rate for motor fuels eased from 43.7% to 32.1% between July and August," the report said.

Food and non-alcoholic beverage prices increased by 13.1% year-on-year in August, up from 12.7% in July.

"The annual rate for this category was minus 0.6% in July 2021 but it has since risen for 13 consecutive months. The current rate is the highest since August 2008," it added.

The consumer price index (CPI) -- the government's preferred measure of inflation -- rose by 0.5% in August 2022, compared with a rise of 0.7% in August 2021.