Inflation in the United Kingdom slowed to 3.4 % in May

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UK inflation was 3.4 per cent in May, indicating that continuous prices have not yet receded with the England Bank’s meeting this week to determine interest rates.

On Wednesday’s reading of the National Statistics Office, it match the Reuters poll for analysts and was characterized by a decrease of 7 percent in April.

ONS has since said that reading inflation in April was about 0.1 percentage points due to a car tax error. I used the correct numbers to read May. The decreases in air and fuel prices were also weighed at the May average, according to ONS.

the Economic inflation The form comes a day before the Bank of Engel will maintain without changing its average. The Monetary Policy Committee has reduced interest rates four times since last summer, as it wrestled with dull growth and persistent price pressures.

Last month, MPC reduced borrowing costs by a quarter to 4.25 percent, but minutes of the meeting revealed sharp divisions between the nine policy makers due to the threat of inflation.

“The May numbers were in line with the bank’s expectations, so it is unlikely to transfer the needle a lot to the bank,” said Ruth Gregory at Economics.

Traders expect that the central bank will provide two other cuts for this year, with the next step in September, according to the levels involved in the Al -Makazat market.

After the numbers, the pound rose 0.3 percent to $ 1.346.

Inflation in services, a major measure of the basic price pressure group, slowed to 4.7 percent in May, from 5.4 percent in April, according to ONS.

In response to the Mayo data, Chancellor Rachel Reeves said: “We have taken the necessary options to stabilize public financial resources and control inflation after increases in the double number that we saw under the previous government, but we know that there is more to do it.”