U.K. Inflation Remains Unexpectedly Flat Ahead of Bank of England Meeting

The U.K.’s rate of inflation was unchanged in May, defying expectations of an increase and reinforcing the view that the Bank of England will keep interest rates on hold at its meeting Thursday.

The annual rate of inflation came in at 2.8%, the same as in April, the Office for National Statistics said Wednesday. A consensus of economists polled last week by The Wall Street Journal expected May’s rate instead to climb to 3.0%.