OECD Forecasts UK to Lead G7 in Inflation This Year

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The Organisation for Economic Co-operation and Development (OECD) has projected that the United Kingdom will experience the highest inflation rate among G7 nations in 2025, attributing the outlook to persistent economic pressures including energy costs and labor market dynamics. This forecast, released on September 24, 2025, underscores ongoing challenges for the UK economy amid global recovery efforts post-pandemic. Analysts warn that without targeted interventions, this could exacerbate cost-of-living issues for households and influence monetary policy decisions.

OECD Predicts UK to Lead G7 in Inflation This Year

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The Organisation for Economic Co-operation and Development (OECD) has forecasted that the United Kingdom will experience the highest inflation rate among G7 nations in 2025, projecting a 2.7% rise amid global economic slowdowns. This prediction comes as part of the OECD's latest interim economic outlook, highlighting persistent inflationary pressures in the UK despite broader trends of declining growth worldwide. The report underscores potential challenges for the UK's economic recovery and policy decisions ahead.

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