2026.03.2507:00:00UTC+00UK CPI Rebounds in February, Snapping January Deflationary Dip

The United Kingdom’s consumer price dynamics turned positive in February 2026, with the month‑over‑month Consumer Price Index (CPI) rising by 0.4%, according to data updated on 25 March 2026. This marks a notable reversal from January 2026, when the CPI registered a 0.5% decline compared with December, signalling a brief deflationary episode at the start of the year.

The February reading indicates that price pressures have firmed again on a monthly basis, as the comparison period measures changes relative to the immediately preceding month. While January’s −0.5% figure reflected a broad-based easing in consumer prices versus December, the latest 0.4% increase suggests a renewed, though moderate, uptick in inflation momentum heading into late Q1 2026.

Investors and policymakers will be closely watching whether February’s rebound marks the start of a more sustained upward trend in prices or a temporary adjustment following January’s drop. The shift from negative to positive month‑over‑month CPI underscores the sensitivity of the inflation profile to short‑term factors as the UK economy continues to navigate its post‑pandemic and post‑tightening landscape.