Inflation in 15-month low as food and fuel prices fall

UK inflation fell to its lowest rate in 15 months in June as food and fuel prices dropped, according to new findings.

The Consumer Prices Index stood at 2.6 per cent in June, down from 2.8 per cent in May.

The figure – revealed by the Office for National Statistics – marked the lowest level since March 2025.

It means average prices across the country are still rising, but at a slower rate.

According to the findings, the biggest downward pull on overall inflation came from transport, food and non-alcoholic drinks.

Average petrol prices declined by 2.1p per litre between May and June, while diesel prices dropped by 10.7p per litre.

However, while prices were lower month-on-month, overall motor fuel prices remained 21.3 per cent higher in the year to June.

Grant Fitzner, Office for National Statistics chief economist, said: “A fall in motor fuel prices, particularly diesel, helped ease inflation in June.

“Food prices fell, driven by products including chocolate, margarine and beef.

“Clothing prices also fell with the start of summer sales, with bigger discounts than last year.

“The cost of raw materials dipped for the first time since January, mainly due to the lower price of crude oil, while the increase in the costs of goods leaving factories slowed again.”

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