The Bank of England raised benchmark interest rates by 0.75 points to 3% on Thursday, the biggest increase since 1989 and the highest level since 2008, to curb inflation.
The Monetary Policy Committee of the British issuing bank voted by a majority (7 to 2) in favor of this increase in the monetary price, as a way to control the year-on-year inflation in the United Kingdom, which stands at 10.1%. to keep. , compared to the official target of 2%.
In a statement, the entity indicated that the UK is on track to enter a recession, although it expects inflation to fall significantly from mid-2023.
The Bank of England’s (BoE) inflation target is 2%, and as it currently exceeds 10%, “further increases will be needed to reach the target,” according to the Bank of England.
Source: DN
