EconomyBank of England’s cautious inflation response risks keeping rates higher for longer

The National Institute of Economic and Social Research said the Bank of England’s modest rate rise from 3.75% to 4% last week could leave inflation above its 2% target until at least 2030. It warned inflation may exceed 4% in the new year without tougher action, and forecast UK growth of 1.6% this year and 0.9% in 2028.

Bank of Englandinflationinterest ratesUK economy

TThe Guardian★★★☆☆2026-11-11 00:01Original