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Slower Services Inflation In UK Strengthens Case For More BoE Rate Cuts

UK consumer price inflation rose less than expected in July as services price growth slowed to its lowest in over two years, strengthening the call for more interest rate cuts from the Bank of England.

The consumer price index moved up 2.2 percent in July from a year ago, following June's 2.0 percent increase, the Office for National Statistics reported Wednesday.

Although inflation accelerated for the first time since last December, this was slightly slower than economists' forecast of 2.3 percent and BoE's projection of 2.4 percent.

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by Renju Jaya

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