BoE warns of inflationary pressure as it holds 0.1% rate

The central bank says it expects inflation to rise to 4% by the end of 2021

Mike Sheen
clock • 2 min read
Premier Miton chief investment officer Neil Birrell
Image:

Premier Miton chief investment officer Neil Birrell

The Bank of England’s (BoE) monetary policy committee (MPC) has voted unanimously to maintain its key interest rate at 0.1%, as the central bank announced that it expects inflation to continue to rise above 2% and not fall back to its target for “around two years”.

Its quarterly monetary policy report, published yesterday (5 August), updated the bank's forecasts to predict the UK inflation rate to continue to rise beyond 4% by the end of 2021, before falling ...

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