Bank of England raises interest rates to 4.5%

The last time the base rate was at 4.5% was in October 2008. The Bank of England’s Monetary Policy Committee has voted 7-2 to increase Bank Rate by 0.25% to 4.5% – the 12th consecutive rise. Two members preferred to maintain Bank Rate at 4.25%. The latest Bank of England figures now predict that Bank Rate will peak at around …

UK inflation dips to 10.1% in March but remains stubbornly high

Consensus expectations of 9.8% were not met. UK inflation failed to fall to single digits in March, dipping to 10.1% from its surprise jump to 10.4% in February, according to data from the Office for National Statistics. The Consumer Prices Index came in higher than expected, with economists having predicted it would fall to 9.8%, although it remains down from …

Inflation sees unexpected rise to 10.4%

February annual core inflation was 6.2% compared to 5.8% in January. The ONS has reported UK headline CPI inflation at an annual 10.4% for February, significantly higher than a Reuters survey consensus of 9.9% and a rise from the 10.1% recorded in January. In monthly terms, CPI was up 1.1% against a consensus of 0.6%, and compared to a fall …

UK sees highest inflation in over a decade

UK inflation hit 5.1% in November, exceeding expectations of 4.8% and reaching its highest point since September 2011. On a monthly basis, inflation increased by 0.7% in November, compared with a fall of 0.1% in November 2020. Richard Carter, head of fixed interest research at Quilter Cheviot wrote that “unfortunately for consumers, peak inflation may still be a few months …

UK inflation rises to 4.2% in October

CPI inflation rose from 3.1% in September to 4.2% in October, the highest 12-month inflation print since November 2011, according to the latest figures from the ONS. CPI increased by 1.1% over the month, compared with no change in October 2020. CPIH inflation, which includes owner occupiers’ housing costs, rose by 3.8% in the 12 months to October, up from …