Coronavirus: PPE costs add to surprise jump in UK inflation in July

Posted by Carolina Plugaru on

Nurse wearing a surgical mask

(Source: BBC News)

Prices started to rise more quickly in July as the UK economy opened up after lockdown and measures to contain the virus added to business costs.

The annual inflation rate rose to 1% in July, up from 0.6% in June, official figures showed. The jump in the Consumer Prices Index (CPI) was bigger than expected as firms such as hairdressers and dentists adjusted their practices.

Another key factor was the absence of traditional summer sales. The Office for National Statistics said clothing and footwear prices were the biggest contributor to the rise.

In most years retailers slash clothes prices between June and July to clear out their summer ranges in preparation for autumn. Many shops were not able to open until July, when lockdown for non-essential retailers was eased, and some retailers had already brought forward discounts to attract consumers shopping online from home.

Read more on: BBC News

 

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