Inflation across the U.K. fell unexpectedly in August to its lowest level since Russia launched its invasion of Ukraine, raising hopes that the Bank of England may pause interest rate hikes after another one on Thursday.
The Office for National Statistics said Wednesday that price rises, as measured by the consumer prices index moderated to 6.7% in the year August, down from 6.8% in July. The decline took inflation to its lowest level since February 2022, when Russia's invasion of Ukraine led to soaring energy and food prices.
