THE NUMBERS: U.K. consumer prices rose 2.8 percent in July, down from a 2.9 percent increase in June.
THE REASON: Lower clothing prices and slower growth in airfares held down inflation, offsetting higher gas prices.
BIG PICTURE: Inflation has remained stubbornly above the Bank of England's 2 percent target since December 2009. It was at a 14-month high in June. The central bank says the benchmark 0.5 percent interest rate will not rise until unemployment has dropped below 7 percent. But that jobs link will be cut if inflation rises out of control.