The British inflation is expected to be alleviated in February in the “Calm before the storm” of Bill Hikes setting in next month.
The Office for National Statistics will publish the latest inflation data on Wednesday, the same day as the Chancellor will deliver her spring statement to Parliament.
Most analysts believe that the inflation of consumer prices (CPI) will be at 2.9% for February, lower than the 3% recorded for January.
This would mean that the rate above the bank of England’s target of 2% remains.
Economists believe that lower rental inflation will be a major factor in lowering the total inflation rate, as the price increases on available homes still facilitate.
Aircraft prices could also have risen less sharply in February, after a setback last month, although there may be some volatility with the prices rising during the school’s half -term, experts suggested.
On the other hand, hotel costs are expected to jump higher last month, putting the total inflation rate under pressure.
It is predicted that cinema, live music and theater prices rose in February.
The latest us will come on the same day as Chancellor Rachel Reeves deliver her Spring statement, where she is expected to announce expenses for some government departments.
Signs of inflation relief can come to Ms Reeves as good news amid efforts to lower the cost of living.
However, experts have warned that the tide will turn next month when prices for the new tax year come into effect, accounts such as energy, water and council taxes.
“February should be the calm before the storm of the annual price setup, as the rise in government and the tax increases in April on the CPI inflation drives to 3.5%,” says Robert Wood and Elliott Jordan-Dak, senior British economists from Pantheon macro economy.
They believe inflation will reach a peak in September – but the risk of future pressure has risen as firms have indicated that they can give higher taxes to customers through price increases.
Deutsche Bank senior economist Sanjay Raja said CPI inflation for this month is likely to be printed.
“But after that we see a sharp rise in price pressure, with the head of the CPI reaching a year-on-year in September on an annual basis,” he said.
‘The good news is that we still expect inflationary pressure to subside slowly and drop from 2026 to about 2% in the first half.
“But upside down risks for our 2026 projections are increasing.”
