London: The United Kingdom's annual inflation rate climbed to 3.6% in June, up from 3.4% in May, according to official figures released Wednesday.

According to Anadolu Agency, the Office for National Statistics (ONS) reported that the monthly inflation rate also increased, from 0.1% in May to 0.3% in June. Both figures exceeded market expectations, which had predicted an annual rate of 3.4% and a monthly rate of 0.2% for June.

On a yearly basis, the most significant price hikes were observed in education at 7.5%, housing and household services at 6.7%, and food and non-alcoholic beverages at 6.4%. The ONS highlighted that transport costs, particularly motor fuels, had the largest impact on the monthly increase.

Core inflation, which excludes volatile items like energy, food, alcohol, and tobacco, climbed to 3.7% in the 12 months leading up to June 2025, an increase from 3.5% in the previous month.