The Bank of England has raised interest rates to 1% from 0.75%. The Bank has warned inflation is set to peak at over 10% this year and forecast the economy will contract in 2023, by 0.25%.
The Bank of England’s monetary policy committee (MPC) of nine members voted six to three in favour of increasing interest rates to 1% from 0.75%.
The central bank said a minority of three members, Jonathan Haskel, Catherine Mann, and Michael Saunders, voted to raise interest rates by 0.5 percentage points to 1.25%.
