UK Inflation Expected to Climb to 2.9% in July on Energy Cap Hike

UK inflation likely rose to 2.9% in July, up from 2.6% in June, figures due 19 August are expected to show. The main driver: Ofgem's 13% energy price cap increase, pushing average household bills to £1,862 yearly. The Bank of England sees inflation hitting 3.2% by year-end and may raise interest rates — the cost of borrowing — as early as September.