AI Data Insight
The UK's Q2 2026 (June) core CPI annual growth rate reported at 2.6%, not only remaining flat with the previous reading but also exceeding market expectations of 2.5%. Although core goods inflation cooled, the high 3.6% services inflation remains a major concern. The stickiness of core prices suggests that the Bank of England will maintain its tightening stance, making it difficult to see the dawn of rate cuts in the short term.