On Thursday, we saw the decision by the Bank of England to raise interest rates again, the tenth such increase since December 2021.
Given its previous timidity in dealing with inflationary pressures, it was of little surprise that the Bank’s Monetary Policy Committee took decisive action with the expectation that prices will finally stabilise and may even start to fall over the next few months.
Yet, with inflation only decreasing slightly at the end of the year after last October’s high-water mark of 11.1%, economists remain worried whether the Bank of England will be on track to achieve a significant decrease in the rate of inflation by the end of the year.
