UK inflation rises to 2.9 per cent in June

Suzie Neuwirth

UK INFLATION rose to 2.9 per cent in the year to June, according to new data today from the Office for National Statistics.

The figure falls slightly short of analysts’ forecasts of three per cent and will mean that new Bank of England governor Mark Carney will not have to write a letter of explanation to the Treasury, as he must do if inflation rises above three per cent.

The 0.2 per cent month-on-month increase from 2.7 per cent in May came from motor fuels, clothing and footwear, the report said.

However the largest downward contribution came from air transport.