The Office for National Statistics (ONS) released the consumer price inflation data for the U.K. on Tuesday. The U.K. consumer price index rose to 0.1% in July from 0.0% in June, exceeding expectations for a flat reading.
The increase was driven by a smaller decline in clothing prices.
The Bank of England Governor (BoE) Mark Carney expects the consumer price inflation to rise towards the end of the year.
On a monthly basis, U.K. consumer prices fell 0.2% in July, beating expectations for a 0.3% drop, after a flat reading in June.
Consumer price inflation excluding food, energy, alcohol and tobacco prices climbed to 1.2% in July from 0.8% the month before.
The Retail Prices Index remained unchanged at 1.0% in July, in line with expectations.
The consumer price inflation is below the Bank of England's 2% target.