The British pound remained broadly stable on Wednesday after Office for National Statistics data showed UK consumer inflation rose 2.3% in the year to April, unchanged from the previous month and in line with market expectations. Core inflation, excluding volatile food and energy prices, was 3.9%, below the 4.0% forecast by some analysts. Sterling initially weakened against the US dollar and euro before stabilizing as traders saw less need for an immediate Bank of England rate increase. Pricing for a June rate cut was unchanged, while an August reduction became more likely. By mid-morning London time, sterling traded at $1.2745, up 0.1%, and at €0.8490, roughly flat against the euro. Economists said services inflation remained sticky at 5.9%, keeping the Monetary Policy Committee cautious even as headline inflation nears the 2% target. The data could reduce pressure on mortgage rates and other borrowing costs, while savers may continue to benefit if interest rates remain elevated. The pound's stability reflects expectations of gradual easing, with wage growth and services prices likely to shape the Bank of England's next decision.