The UK’s inflation rate is set to fall to its lowest level since September of 2021, but markets suggest the Bank of England still may not cut interest rates until the Autumn.
March figures released this morning are expected to show another decline in the rate of price rises. A poll of economists for Refinitiv suggests the inflation rate could decline to 3.1%, getting ever-nearer to the 2% target. It’s likely inflation will continue to fall in the next couple of months, as the lower energy price cap factors into calculations, and food prices are compared to the sky-high levels seen in late spring last year.
