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UK inflation rises unexpectedly to 3.6% as Labour faces economic scrutiny

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Annual increase in June follows two months of negative growth and with speculation mounting over tax rises

UK inflation unexpectedly rose in June, according to official figures, adding to the pressure on the chancellor, Rachel Reeves.

The Office for National Statistics (ONS) said the consumer prices index rose by 3.6% last month, up from a reading of 3.4% in May. City economists had forecast an unchanged reading.

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