GBAF Logo
Finance

UK longer-term inflation expectations highest since Sept 2022, Citi/YouGov survey shows

Published by Global Banking & Finance Review

Posted on June 25, 2025

1 min read

· Last updated: January 23, 2026

Add as preferred source on Google
UK longer-term inflation expectations highest since Sept 2022, Citi/YouGov survey shows
Survey UK economy
Global Banking & Finance Awards 2026 — Call for Entries

LONDON (Reuters) -The British public's expectations for inflation over the longer term have risen in June to their highest since September 2022, a Citi/YouGov survey showed on Wednesday. Inflation

UK Inflation Expectations Reach Highest Level Since September 2022

LONDON (Reuters) -The British public's expectations for inflation over the longer term have risen in June to their highest since September 2022, a Citi/YouGov survey showed on Wednesday.

Inflation expectations for the five to 10 year-ahead period rose to 4.3% in June from 4.2% in May, while year-ahead expectations fell to 3.9% from 4%.

"These series are continuing to diverge which may raise questions about how well anchored long-term expectations are," Citi analysts said in the research note.

Official data earlier this month showed British consumer price inflation was 3.4% in May - well above its 2% target - and the Bank of England last week forecast it would rise to 3.7% by September and remain around 3.5% for the rest of the year.

(Reporting by Sam Tabahriti; editing by William James)

Key Takeaways

  • UK long-term inflation expectations rose to 4.3% in June.
  • Year-ahead inflation expectations fell to 3.9%.
  • Citi/YouGov survey highlights diverging inflation trends.
  • Bank of England forecasts inflation to rise to 3.7% by September.
  • Current UK inflation is above the 2% target.

Frequently Asked Questions

What did the Citi/YouGov survey reveal about inflation expectations?
The survey indicated that the British public's long-term inflation expectations rose to 4.3% in June, the highest level since September 2022.
How did year-ahead inflation expectations change?
Year-ahead inflation expectations fell to 3.9% in June from 4% in May, indicating a decrease in short-term inflation outlook.
What concerns did Citi analysts express regarding inflation expectations?
Citi analysts noted that the divergence between short-term and long-term inflation expectations may raise questions about how well anchored these long-term expectations are.
What was the official consumer price inflation rate in May?
Official data showed that British consumer price inflation was 3.4% in May, which is significantly above the Bank of England's 2% target.
What is the Bank of England's forecast for inflation by September?
The Bank of England forecasted that inflation would rise to 3.7% by September, reflecting ongoing concerns about inflation trends.

Tags

Related Articles

Image for Adidas shares climb after Sawe makes marathon history in Adidas shoes

Adidas shares climb after Sawe makes marathon history in Adidas shoes

Image for EU steelmakers set for rebound as Iran war hurts more exposed Asian peers

EU steelmakers set for rebound as Iran war hurts more exposed Asian peers

Image for Forvia to sell its interiors business to Apollo Funds for $2.1 billion

Forvia to sell its interiors business to Apollo Funds for $2.1 billion

Image for China's DeepSeek slashes prices for new AI model

China's DeepSeek slashes prices for new AI model

Image for Night vision gear maker Exosens posts Q1 revenue growth of 19.7%

Night vision gear maker Exosens posts Q1 revenue growth of 19.7%

Image for Germany's Nordex posts strong first-quarter earnings on wind power demand

Germany's Nordex posts strong first-quarter earnings on wind power demand

More from Finance

Explore more articles in the Finance category

Image for Eutelsat CEO says US demand holds despite SpaceX push to curb European rivals 
Eutelsat CEO says US demand holds despite SpaceX push to curb European rivals 
Image for Bank of England to keep rates on hold while it gauges impact of Iran war
Bank of England to keep rates on hold while it gauges impact of Iran war
Image for Morning Bid: Hormuz and hyperscalers
Morning Bid: Hormuz and hyperscalers
Image for Kia CEO signals price cuts in Europe to fend off Chinese competition
Kia CEO signals price cuts in Europe to fend off Chinese competition
Image for Taiwan downplays impact of Chinese sanctions on European arms makers
Taiwan downplays impact of Chinese sanctions on European arms makers
Image for Dollar advances as US-Iran talks suffer setback
Dollar advances as US-Iran talks suffer setback
Image for Altas Arteria shares jump after IFM Global offers to buy at $4.9 billion valuation
Altas Arteria shares jump after IFM Global offers to buy at $4.9 billion valuation
Image for Exclusive-Activist Palliser takes stake in Japan's SMC, proposes $3.8 billion buyback, letter shows
Exclusive-Activist Palliser takes stake in Japan's SMC, proposes $3.8 billion buyback, letter shows
Image for North Korea's Kim says will continue to support Russia's policies, KCNA says
North Korea's Kim says will continue to support Russia's policies, KCNA says
Image for Oil jumps, stock futures slip as US-Iran talks stall
Oil jumps, stock futures slip as US-Iran talks stall
Image for Oil jumps more than 2% as US-Iran peace talks stall
Oil jumps more than 2% as US-Iran peace talks stall
Image for Global military spending rises 2.9% despite US decline over Ukraine freeze
Global military spending rises 2.9% despite US decline over Ukraine freeze
View All Finance Posts