U.K. inflation hit a fresh 40-year high in July as surging food and energy prices continued to weigh on consumers.
The annualized consumer price index in the U.K rose 10.1%, according to estimates published by the Office for National Statistics on Wednesday, which was higher than a Reuters consensus of 9.8% and a record of 9.4% in June.
On a monthly basis, inflation rose 0.9%, up from 0.8% in June, which was also higher than a forecast of 0.6% rise
According to the Office for National Statistics, higher inflation in July was largely contributed by rising food prices.
The Bank of England had already made six consecutive rate hikes in an attempt to slow down inflation. The central bank projected that the U.K. will enter its longest recession since the global financial crisis in 2008 this fourth quarter.