UK inflation falls to 17-month low of 6.8% but unlikely to derail another interest rate rise

The rate of inflation in the U.K. fell sharply in July to a 17-month low largely on the back of lower energy prices, official figures showed Wednesday, a welcome development for hard-pressed households struggling during the cost of living crisis. The Office for National Statistics said the annual rate of inflation, as measured by the consumer price index, was 6.8% in July, its lowest level since February 2022, the month Russia invaded Ukraine and sent energy prices surging. The statistics agency said the fall was largely driven by a lower energy prices as last year's sharp increases fell out of the annual comparison.