If you have looked at your grocery bill or monthly utility payment recently and noticed it creeping up, you are not alone. Official inflation data from Ireland, the United States, and the United Kingdom all point to a significant CPI increase in 2025, with Ireland’s annual rate hitting 2.8% by December 2025 and the US reaching 3.8%.

4 related posts

Ireland CPI (12-month ending December 2025): 2.8% ·
Ireland CPI (12-month ending June 2025): 1.8% ·
US CPI (12-month ending April 2026): 3.8% ·
UK CPI (12-month ending April 2026): 2.8%

Quick snapshot

1Confirmed facts
2What’s unclear
3Timeline signal
  • June 2025: Ireland CPI annual increase reported at 1.8% by CSO
  • December 2025: Ireland CPI annual increase reported at 2.8% by CSO
  • April 2026: US CPI reported at 3.8% annual increase by BLS
  • April 2026: UK CPI reported at 2.8% annual increase by ONS
4What’s next
  • Central banks may adjust policy based on CPI trends
  • Forecasts for 2026 suggest moderate easing, but uncertainty remains high
  • Next CPI releases expected mid-2026 for all three economies

The table below summarizes the key CPI data points across all three economies.

Label Value
Ireland CPI (Dec 2025) 2.8%
Ireland CPI (Jun 2025) 1.8%
US CPI (Apr 2026) 3.8%
UK CPI (Apr 2026) 2.8%

How much is the CPI increase in 2025?

Three major economies published official CPI data for 2025 and early 2026, and the numbers tell a story of persistent but uneven price pressures. Here is how each country performed.

US CPI increase in 2025

The upshot

American households are facing the highest CPI reading in over a year, with the 3.8% annual figure pushing real wage gains into negative territory for many workers.

Ireland CPI increase in 2025

  • Ireland’s CPI rose 2.8% year-on-year in December 2025, as reported by the Central Statistics Office (Ireland’s national statistical institute). This was down from 3.2% in December 2024, showing a modest deceleration.
  • By March 2026, Ireland’s annual CPI rate had climbed to 3.6%, the highest since January 2024 when inflation was 4.1% (Central Statistics Office (Ireland)).
Why this matters

Irish consumers are seeing renewed price acceleration in 2026 after a brief cooldown, with the March 2026 reading reversing much of the progress made through 2025.

UK CPI increase in 2025

The OBR attributed this temporary rise to higher Ofgem price cap impacts, food-price increases from domestic costs, and regulated water bill increases from April 2025.

Bottom line: The pattern: all three economies saw CPI rise in 2025, but Ireland experienced the most dramatic swing — from 1.8% in mid-2025 to 3.6% by early 2026 — while the US and UK reported more moderate increases from lower starting points.

What is the CPI forecast for 2025?

Official forecasts point to a mixed picture for the rest of 2025 and into 2026, with inflation expected to moderate in some economies but remain elevated in others.

Official government forecasts

  • The UK Office for Budget Responsibility expected monthly UK CPI inflation to peak at 3.8% in July 2025 before falling from 2026 onwards, remaining close to the 2% target throughout the forecast period (Office for Budget Responsibility (UK fiscal watchdog)).
  • The OBR attributed the temporary UK CPI rise to higher Ofgem price cap impacts, food-price increases from domestic costs, and regulated water bill increases from April 2025.

Central bank projections

  • The Central Bank of Ireland projected headline HICP inflation at 2.9% in 2026 and 2.6% in 2027 in its Q1 2026 bulletin (Central Bank of Ireland (Ireland’s central monetary authority)).
  • The Central Bank noted this 2026 forecast had been revised up sharply from a previous forecast of 1.2%, implying a large upward revision driven by services inflation and renewed food and energy pressures.

The trade-off: central banks face a delicate balancing act — raising rates too aggressively could stall economic growth, but keeping rates low risks entrenching higher inflation expectations.

What is the current CPI in Ireland?

Ireland’s CPI has been one of the most volatile among advanced economies in 2025-2026, with two key data points capturing the trajectory.

December 2025 CPI release

  • Ireland’s CPI rose 2.8% between December 2024 and December 2025, down from an annual increase of 3.2% in December 2024 (Central Statistics Office (Ireland)).

June 2025 CPI release

  • Ireland’s annual CPI increase stood at 1.8% in June 2025, the lowest point of the year before accelerating in the second half (Central Statistics Office (Ireland)).

The catch: while Ireland’s CPI appeared to be cooling through mid-2025, the resurgence in early 2026 to 3.6% suggests the disinflation was temporary and that underlying pressures remain strong.

What is the CPI for the last 12 months?

For readers tracking the latest trailing 12-month figures, here is where the US and UK stand as of spring 2026.

US trailing 12-month CPI (April 2026)

UK trailing 12-month CPI (April 2026)

What this means: the US continues to experience the highest trailing inflation rate among the three economies, while the UK’s reading is exactly at the Bank of England’s 2% target boundary when accounting for the recent uptick.

Will CPI rise in 2026?

Forecasts for 2026 point to a potential moderation, but the outlook carries significant uncertainty that could push inflation either direction.

Factors influencing 2026 inflation

  • Many analysts expect CPI to moderate in 2026 as supply chain disruptions ease and the effects of past interest rate increases feed through.
  • However, uncertainty remains due to geopolitical risks, potential energy price shocks, and persistent services inflation.

Expert predictions

“The CPI rose by 2.8% between December 2024 and December 2025, down from an annual increase of 3.2%.”

CSO statistician (December 2025 release)

“The all items index rose 3.8 percent for the 12 months ending April, after rising 3.3 percent for the 12 months ending March.”

BLS report (April 2026)

“The Consumer Prices Index (CPI) rose by 2.8% in the 12 months to April 2026.”

ONS release (April 2026)

Confirmed facts

  • Ireland CPI 2025 data is confirmed by CSO
  • US CPI April 2026 data is confirmed by BLS
  • UK CPI April 2026 data confirmed by ONS

What’s unclear

  • Australia CPI 2025 final data not yet released
  • Exact future CPI trajectory for 2026 uncertain
  • Impact of geopolitical events on inflation unclear

For Irish households, the choice is stark: either inflation continues to erode purchasing power at 3.6% annually, or central bank policy manages to bring it back toward 2% — but only if energy and food price pressures do not escalate further.

Additional sources

tradingeconomics.com, ons.gov.uk, bls.gov, jpmorgan.com, oecd.org

For historical context, CPI Increase 2024 official data shows a 2.9% rise from December 2023 to December 2024, serving as a useful benchmark for the current trends.

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Frequently asked questions

What caused the CPI increase in 2025?

The main drivers were services inflation, energy costs, and food prices. In Ireland, the largest increases in March 2026 were Clothing & Footwear (+9.0%), Education Services (+8.9%), and Housing & Utilities (+7.2%) (Central Statistics Office (Ireland)). In the UK, the OBR pointed to higher Ofgem price cap impacts and food-price increases.

How does CPI differ from other inflation measures?

CPI measures the average change in prices paid by consumers for a basket of goods and services. Other measures like the Producer Price Index (PPI) track wholesale prices, while the Personal Consumption Expenditures (PCE) index — used by the US Federal Reserve — has a different scope and methodology.

What is the CPI for the last 3 years?

In Ireland, annual CPI was 3.2% in December 2024, 2.8% in December 2025, and 3.6% in March 2026 (Central Statistics Office (Ireland)). In the US, CPI was 3.3% in March 2026 and 3.8% in April 2026 (Bureau of Labor Statistics). In the UK, CPI was 2.8% in April 2026 (Office for National Statistics (UK)).

What is the CPI in Ireland 2026?

As of March 2026, Ireland’s annual CPI rate was 3.6%, the highest since January 2024. The Central Bank of Ireland projects full-year 2026 HICP inflation at 2.9% (Central Bank of Ireland (Ireland’s central monetary authority)).

How is CPI calculated?

National statistical agencies collect prices for a fixed basket of goods and services (e.g., food, housing, transport, healthcare) each month. The CPI compares the total cost of that basket to a base period, expressed as a percentage change. Each country’s statistical office publishes detailed methodology.

Why is the CPI important for consumers?

CPI directly affects household budgets because it measures how the cost of living is changing. A high CPI means consumers need to spend more to maintain the same standard of living. Central banks also use CPI to set interest rates, which influence mortgage rates, savings returns, and loan costs.