UK Consumer Prices (May 2023)

The news that CPI inflation stayed at 8.7% in April (consensus 8.4%, BoE 8.3%) and that core CPI inflation rose again, from 6.8% to a new 31-year high of 7.1% (consensus 6.8%), will have been seen in advance by the Bank of England and increases the chances that the Bank raises interest rates by 50bps tomorrow rather than the 25bps rise from 4.50% to 4.75%. Either way, the acceleration in core inflation leaves the UK increasingly looking like the global outlier and the “stagflation nation”.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.
By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.

Already a client or trialist? Log in to read this.