Not unexpected it would seem, but also probably a reason why the election was rushed through. Inflation down to 2% is a better slogan than down to 2.3%, or 2.75%
The major reason for this is that inflation is measured based on the growth in prices over the past year, so a large part of the figure is based on what prices were 12 months ago.
In April, the energy price cap – the maximum most households pay for each unit of gas or electricity used – was cut by the regulator Ofgem. In April 2023, the amount people were paying for their energy was at the highest level on record, but the cap fell in July 2023.
So while energy prices deflated dramatically in the 12 months leading up to April to June 2024, dragging the headline inflation figure down, the deflation is less dramatic in July.
And also
It predicted at the beginning of August that inflation will rise to 2.75 per cent by the end of 2024 and stay high for the foreseeable future before dropping to below 2 per cent again in the summer of 2026