UK inflation shows surprise fall

The UK inflation rate fell to 2.8% on Tuesday, moving closer towards the Bank of England's 2.5% target. Most analysts had predicted an increase to 3.0%.

Source: Reuters

The UK inflation rate unexpectedly fell in June helped by the cost of foreign holidays, and the Bank of England's new governor says it could soon move below the 2.5 percent target.

The Office for National Statistics said on Tuesday that retail prices excluding the cost of home loans fell 0.1 percent in June, taking the annual ra