UK inflation steady at 2.2% YoY in August

CPI remains above the Bank of England's 2% target

Core inflation edges higher to 1.9%

The UK's annual inflation rate remained steady at 2.2% in August, as expected, according to the latest figures from the Office for National Statistics (ONS).

This is the fourth consecutive month that inflation has remained above the Bank of England's 2% target.

The ONS said that the main upward pressure on inflation came from food and non-alcoholic drinks, with prices rising by 1.9% year-on-year.

Core inflation, which excludes food, energy, alcohol, and tobacco, rose to 1.9% in August, up from 1.7% in July.

The Bank of England is widely expected to keep interest rates on hold at 0.1% when it meets next week, despite the recent rise in inflation.

However, the Bank has warned that inflation could rise further in the coming months, due to the impact of the global energy crisis.

What does this mean for consumers?

• Inflation is eroding the value of savings and investments.
• Higher inflation means that consumers will have to pay more for goods and services.
• This could lead to a decrease in consumer spending and a slowdown in economic growth.

What can consumers do?

• Consumers should try to save as much as possible.
• They should also consider investing in assets that can keep pace with inflation, such as stocks and real estate.
• Consumers should also be careful not to take on too much debt.