Inflation will hit 10% this year, the Bank of England has warned - and energy bills could be forced to a 40-year high.
The UK economy is set to go into reverse, with rocketing energy costs expected to drive inflation up, the Bank of England has said today.
The dire forecast came as the Bank hiked interest rates from 0.7% to a 13-year high of 1%. Some of its rate-setters voted for an immediate increase to 1.25%.
