LondonBritain’s inflation will peak at 4.9%, its central bank forecasts.
The Bank of England lifted Bank Rate to 4%, its first rise since August 2023.
Energy costs from the Iran war drove an 8-1 vote, with one member demanding an immediate 4.25%.
Governor Andrew Bailey said the rise “shouldn’t be seen as the first in an inevitable long sequence of hikes.”
The Monetary Policy Committee votes again on 17 December.
How each outlet framed it
drawn from 100+ reports worldwide
- Bloomberg Business
- The Independent
- reads the rate hike against markets pricing three more, stressing Bailey's "not on a pre-set path" line and the dissenter who wanted a double hike
- Financial Times News
- quantifies the energy-driven inflation outlook with economist survey peaks of 4.4% and bills up nearly £470, set against the OBR's 3.8% forecast
- Dawn
- places the BoE move within the global tightening wave, catching up with the Fed and ECB, and tying UK diesel costs to Ukraine's refinery strikes
Sources: The Independent, Financial Times News, Bloomberg Business, Dawn