The rate of inflation in the UK rose again in June, outstripping economists’ predictions and passing the Bank of England’s stated target of 2%.
The Office for National Statistics (ONS) said the consumer prices index (CPI) measure rose by 2.5% in the 12 months leading up to June 2021, largely driven by increases in transport costs.
The prices for food, second-hand cars, clothing, eating and drinking out, and motor fuel rose in 2021 as lockdown restrictions slowly eased, but mostly fell in 2020, resulting in the largest upward contributions to the change in the inflation rate between May and June 2021.
These increases were partially offset by a large downward contribution from games, toys and hobbies, the ONS said, where prices fell this year but rose a year ago as the country was placed under strict lockdown.