UK Inflation Rises to 2.6%, Pound Remains Steady Amid Underlying Price Pressures

The British pound remained steady against major currencies after UK headline inflation rose to 2.6% in November, matching market expectations.

The increase was mainly driven by higher fuel prices and a smaller drop in clothing costs compared to last year, according to the Office for National Statistics.

Core inflation, which excludes volatile food and energy prices, held at 3.5% in November, unchanged from October.

Services inflation, a key gauge watched by the Bank of England, also remained elevated at 4.6%, underscoring that underlying price pressures persist.