25 Mar 2026
The UK inflation rate remained at 3% in the year to February, according to the Office for National Statistics (ONS).
However, the data is 'already old news' due to the impact of the war in the Middle East.
The ONS said the largest upwards driver was the price of clothing was offset by falls in petrol costs. Petrol prices were collected before the start of the conflict in the Middle East and subsequent rise in crude oil prices, the ONS added.
Martin Sartorius, Lead Economist at the Confederation of British Industry (CBI), said that the figures were 'old news' and that renewed inflationary pressures in the near-term could potentially delay the return to 2% inflation until next year, rather than this summer.
He continued: 'The extent to which inflation will pick up in the coming months will depend on the duration and intensity of the Iran conflict. Households have already seen a rise in fuel pump prices, but a more protracted conflict would result in higher energy bills from July.
'Food and other goods prices could also see upward pressure due to recent increases in some global commodities prices and disruption in supply chains.
'At this stage, the uncertainty surrounding the extent of the potential inflationary impact of the Iran conflict means that the Bank of England's Monetary Policy Committee will likely keep rates on hold next month.'