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UK inflation drops to 2.6% in June
Inflation rates in Britain decreased to 2.6% in June 2026, surpassing expectations and declining from 2.8% in May, despite rising energy costs due to the Iranian war. The Bank of England decided to hold interest rates steady at 3.75% in May, with expectations still leaning towards raising them before the year's end, although most members of the Monetary Policy Committee supported this decision. This reflects the bank's efforts to balance curbing inflation amid global pressures on energy prices and economic activity.
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