Inflation rate (consumer prices) · United Kingdom
United Kingdom Retail Price Index YoY
The United Kingdom Retail Price Index YoY measures how much the prices that households in the United Kingdom pay for a typical basket of goods and services have risen over the past year.
- Importance
- Medium
- Released
- Monthly
- Next release
- Currency
- GBP · pound sterling
- Central bank
- The Bank of England
Latest figures
The latest release for SEP, published on 21 October 2026, came in at 3.9%, in line with the consensus of 3.9%, up from 3.4% the time before.
A result in line with the consensus usually causes little reaction: it was already priced in.
Over the last 12 releases it ranged from 3.0% to 4.5%, averaging 3.7%; it has been rising for three releases in a row.
| Released | For | Actual | Consensus | Previous |
|---|---|---|---|---|
| 21 Oct 2026 | SEP | 3.9% | 3.9% | 3.4% |
| 16 Sep 2026 | AUG | 3.4% | 3.5% | 3.2% |
| 19 Aug 2026 | JUL | 3.2% | 3.3% | 3% |
| 17 Jun 2026 | MAY | 3.1% | 3.3% | 3% |
| 20 May 2026 | APR | 3.0% | 3.6% | 4.1% |
| 22 Apr 2026 | MAR | 4.1% | 3.9% | 3.6% |
| 25 Mar 2026 | FEB | 3.6% | 3.7% | 3.8% |
| 18 Feb 2026 | JAN | 3.8% | 3.9% | 4.2% |
| 21 Jan 2026 | DEC | 4.2% | 4% | 3.8% |
| 17 Dec 2025 | NOV | 3.8% | 4.3% | 4.3% |
| 19 Nov 2025 | OCT | 4.3% | 4.3% | 4.5% |
| 22 Oct 2025 | SEP | 4.5% | 4.7% | 4.6% |
Why it matters
Inflation is what the Bank of England is charged with controlling, so this is one of the most market-moving releases of the month. A figure above expectations makes rate hikes (or a longer wait for cuts) more likely, which usually lifts the pound sterling and bond yields; a soft figure does the reverse. It also drives wages, pensions and benefits that are linked to prices.
How it is calculated
the Office for National Statistics (ONS) collects many thousands of prices every month (food, rent, energy, transport, clothing, services) and weights them by how much households spend on each, from household surveys. The index compares the cost of the basket with a base year; the inflation rate is the change from the same month a year earlier.
CPI = Σ (price now ÷ base price) × weight × 100
Inflation (yoy) = CPI ÷ CPI 12 months ago − 1What changes mean
- Above the central bank's target (usually 2%) and rising: pressure for higher rates.
- Look at the core rate and services prices to see if the move is broad or driven by energy and food.
- Base effects: a big jump a year ago drops out of the yearly rate and can make it fall even if prices keep rising.
- Markets react to the difference from the consensus, often to a single decimal.
Higher than expected: A higher figure than expected makes the Bank of England more likely to keep rates high or raise them: it tends to support the pound sterling and push bond yields up, and is often a weight on stocks.
Lower than expected: A lower figure than expected gives the Bank of England room to cut or hold rates lower: the pound sterling tends to soften and bond yields to fall.
A short history
The United States began publishing a national consumer price index in 1919, the United Kingdom's index goes back to 1914. Inflation targeting, started by New Zealand in 1990, made this release the centre of monetary policy almost everywhere.
Questions
What is the United Kingdom Retail Price Index YoY?
The United Kingdom Retail Price Index YoY measures how much the prices that households in the United Kingdom pay for a typical basket of goods and services have risen over the past year.
What was the latest United Kingdom Retail Price Index YoY?
3.9% for SEP, published on 21 October 2026 (consensus 3.9%, previous 3.4%).
When is the next United Kingdom Retail Price Index YoY?
On Wednesday 18 November 2026 at 07:00 UTC.
What is a good inflation rate?
Most central banks, including the Bank of England in many cases, aim for about 2% a year: low enough not to erode savings, high enough to avoid deflation.
Why does the United Kingdom Retail Price Index YoY move the pound sterling?
Because it changes what traders expect the Bank of England to do with Bank Rate, and interest rates decide what holding the currency pays.
Educational content only, not investment advice. Figures are the published results as recorded by our calendar; market reactions described are typical, not guaranteed.