Author: UK News

Bank of England raises interest rates to 4.25% The Metro says The Bank of England has announced that interest rates have risen for the 11th time in the last two years after Wednesday’s surprise jump in inflation. Policymakers on the Bank’s Monetary Policy Committee (MPC) voted seven-to-two to increase rates from 4% to 4.25%. They said they now expect the economy to grow slightly in the second quarter of the year, marking a reversal of the 0.4% decline in the gross domestic product (GDP) that the Bank had anticipated last month. Furthermore, inflation is set to come back down this…

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Jeremy Hunt says tax cuts unlikely this year as interest rates hiked to control higher than expected inflation The i says Jeremy Hunt believes tax cuts this year remain unlikely because they could make it harder to control inflation after the Bank of England voted to raise interest rates again. The Chancellor privately warned that the persistence of high prices will make it harder for him to offer tax cuts or public spending increases in future. Another minister told i that Rishi Sunak “needs rates to come down” in the next year in order to convince voters that the economy…

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Today’s news summary – Paper Talk There’s a variety of stories on the front pages this Friday, however, the Bank of England’s boss Andrew Bailey’s comments that he was “more optimistic” about the UK economy makes several leads.  Following the Bank of England governor’s more optimistic outlook for the UK economy, the Daily Express proclaims “Here’s Hoping!”, despite a recent interest rate hike to combat inflation. While acknowledging that tough times may still lie ahead, the paper sees the Bank’s assessment as a sign that better times are fast approaching. The Financial Times reports that the interest rate increase was…

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