News Formal

UK inflation stops falling, raising the chances of much higher interest rates | CNN Business

  • 📰 cnni
  • ⏱ Reading Time:
  • 17 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 10%
  • Publisher: 59%

Malaysia News News

Malaysia Malaysia Latest News,Malaysia Malaysia Headlines

UK inflation unexpectedly stayed stuck at 8.7% in May, making it more likely the Bank of England will continue raising interest rates, potentially taking them to a level not seen in more than two decades

The data released by the Office for National Statistics Wednesday defied forecasts for a slowdown in inflation to 8.4% compared with a year ago. Prices for recreation and cultural activities rose at a faster pace than in April and, although food inflation eased, it remained high, coming in at more than 18%. “The cost of airfares rose by more than a year ago and is at a higher level than usual for May,” said ONS chief economist Grant Fitzner.

The shock is bad news politically for UK Prime Minister Rishi Sunak, who has promised to halve inflation this year to around 5%, and economically for millions of people across Britain struggling with a cost-of-living crisis and facing soaring mortgage payments, with interest rates on two-year loans now above 6%.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 326. in MY
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Bank of England's conundrum deepens as inflation and labor market stay hotThe Bank of England is 'caught between a rock and a hard place' as it prepares for a key monetary policy decision.
Source: CNBC - 🏆 12. / 72 Read more »