UK inflation has risen to 3.1% in August 2026, up from 2.9% in July, according to the latest figures from the Office for National Statistics.
The increase was driven largely by higher petrol and diesel prices, with transport making the biggest contribution to the rise. Airfares also added to inflationary pressures.
The latest figure is now well above the Bank of England’s 2% target, adding another complication for policymakers considering the future path of interest rates.
However, core inflation remained unchanged at 2.6%, suggesting underlying price pressures have not accelerated across the UK economy.