Inflation falls to 2.6%: Experts respond

Lily Megson, Policy Director at My Pension Expert said, “A second straight decline in inflation is good news, not just for everyday budgets, but for long-term financial planning too. Of course, broader uncertainty hasn’t gone away – US tariffs are continuing to irritate global markets.

“That said, slowing price growth is exactly what’s needed to help people rebuild their savings. It could also create the conditions for the Bank of England to consider easing interest rates later this year, presenting fresh opportunities to reassess financial plans.

“While it makes sense for savers to review their plans and consider the opportunities available, it’s important to avoid knee-jerk reactions that could undermine your financial goals. The key is to stay informed, stay calm, and seek regulated financial advice if you’re unsure. A steady, well-considered approach will always serve better than acting on short-term noise.”

Paul Noble, CEO of Chetwood Bank, said: “Today’s inflation figures suggest a fragile but promising momentum – a second month of stability that hints we may be turning a corner, though not yet out of the woods. For many, this will feel less like a breakthrough and more like a cautious exhale, especially given the many troubling factors surrounding the economy.

“The Spring Statement outlined a careful balance between support and sustainability – and today’s figures should give the Chancellor a little more breathing room. That said, looming global pressures, including President Trump’s tariff policies, could still feed into rising costs in the months ahead. The path to long-term price stability is far from guaranteed.

“For now, the Bank of England may feel more confident in its long walk to rate cuts, though it will remain watchful of any external shocks. This is also a crucial moment for savers – locking in strong rates while they remain available could provide valuable protection. Lenders and financial institutions have a duty to offer smart, flexible options that help customers navigate an uncertain landscape with confidence.”

Ben Thompson, Deputy CEO, Mortgage Advice Bureau:

“This might be the last good reading for a few months, so let’s enjoy it while we can. It’s likely we have a few bumps in the road ahead of us – especially before it feels like we’re seeing inflation back under control and where it needs to be. Getting inflation to the 2% target has been like the impossible task of putting toothpaste back in its tube, and that job is certainly not done yet.

“Navigating the balance between inflation and low UK economic growth has been made a lot harder by the wholly unpredictable nature of activity over the pond. Unfortunately, it’s likely there will be some sort of impact to UK numbers as a knock-on later this year and beyond, and right now, trying to work out where that all may or may not go is like fumbling through a thick fog blindfolded. It’s still not clear whether inflation will persist and keep rates broadly where they are or be cut further than expected, as the US actions cause an unnecessary slowdown closer to home.

“Whether you’re looking to get on the property ladder or due to remortgage soon, the importance of speaking to a broker cannot be stated enough. They’ll be able to cut through the noise and navigate current market conditions to help you get mortgage ready.”