UK shops supermarkets raise prices by largest amount in 17 years

The Bank of England is looking closely for signs of how persistent inflation is likely to be as it prepares to decide next week whether to raise interest rates by half a percentage point, which would be its biggest increase since 1995.

LONDON: Shops and supermarkets in Britain increased prices by 4.4% in the 12 months to July, the largest rise since these records began in 2005, reflecting a jump in food and transport costs, the British Retail Consortium said on Wednesday.

The Bank of England is looking closely for signs of how persistent inflation is likely to be as it prepares to decide next week whether to raise interest rates by half a percentage point, which would be its biggest increase since 1995.