The Office for National Statistics (ONS) has revealed that the Consumer Price Index (CPI) has dropped to 6.8% in the 12 months to July 2023, down from 7.9% in June.
On a monthly basis, CPI fell by 0.4% in July 2023 compared with a rise of 0.6% in July 2022.
The CPI including owner occupiers' housing costs (CPIH) rose to 6.4% compared to 7.3% in June.
According to ONS data, falling gas and electricity prices provided the largest downward contribution to the monthly change in CPIH and CPI annual rates.
Food prices rose in July 2023 but by less than in July 2022, also leading to an easing in the rates.
Meanwhile, the latest House Price Index (HPI) data — released in tandem with the inflation figures — showed that UK average house prices rose by 1.7% in the year to June 2023.
Average house prices came in at £288,000 in June, which is £5,000 higher than a year ago, but £5,000 below the recent peak in November 2022.
