Bank of England raises rates, warns inflation will near 5%
Written by AI from cnbc.com's report. Not checked by a person.
The Bank of England hiked interest rates and warned UK inflation could approach 5%. Soaring energy prices are driving price pressures across Europe.
On 5 November the Bank of England raised interest rates and warned that inflation will near 5%, according to CNBC. The move follows a wave of tightening by central banks facing energy-driven inflation: the Bank of Canada raised rates for the first time in three years on 28 October, citing soaring energy prices, and euro zone inflation reached 4% in October, the highest in three years, with an ECB hike looming. In the UK, households and businesses face higher borrowing costs just after the Autumn Budget. The decision adds to pressure on mortgage holders and signals that policymakers see price growth as persistent rather than temporary. Note: no items dated exactly 7 November were available; this is among the most prominent stories of the days around it.
