UK inflation may call for more caution


Building focus: A woman shelters from the rain near the BoE in London. The overall picture of the UK is one that is slowly moderating but still with excessive price growth, which may support the central bank’s gradual approach towards monetary easing. — AFP

LONDON: UK inflation probably surged back above the Bank of England’s (BoE) target in October, reinforcing the case for policymakers to act cautiously when cutting interest rates.The consumer price index due tomorrow rose an annual 2.2%, according to the median of 24 forecasts in a Bloomberg survey.

That’s up from 1.7% last month, when it slipped below the BoE’s 2% target for the first time in more than three years.

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Bank of England , inflation , interest rate

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