Britain’s inflation rate remains unchanged for the third successive month

The UK inflation rate remained high in September, sitting at 3.8%, according to data from the Office of National Statistics (ONS). ONS data revealed that food and non-alcoholic drinks prices plummeted for the first time since May last year, while petrol prices and airfares drove up costs. Britain’s inflation rate has remained unchanged for the third successive month, and it’s also the 12th month in a row that inflation is above the Bank of England’s 2% ￰0￱ UK’s inflation is still lower than the earlier expectations of a hike up to 4%, signaling uncertainty for another interest rate cut from the BOE this year. UK’s Chancellor says inflation data wasn’t satisfactory According to ONS data, the UK’s September core inflation, which excludes more volatile food, energy, alcohol, and tobacco prices, surged by an annual 3.5% in the year to ￰1￱ country’s core CPI was 3.6% in ￰2￱ Rachel Reeves acknowledged that the inflation data wasn’t ￰3￱ also maintained that everyone in government is responsible for supporting the Bank of England in its efforts to bring inflation down .

“The largest upward drivers came from petrol prices and airfares, where the fall in prices eased in comparison to last ￰4￱ were offset by lower prices for a range of recreational and cultural purchases, including live events.” – Grant Fitzner , Chief Economist at the ￰5￱ inflation data comes as the BOE prepares for its next meeting on November ￰6￱ Brown, senior economist at Schroders, said on Wednesday the BOE could cut its benchmark interest rate from the current level of 4% due to the lower-than-expected inflation data and lackluster growth ￰7￱ also believes the bank could add another rate cut at its last meeting of the year on December ￰8￱ acknowledged that high inflation is at risk of becoming entrenched in Britain due to a combination of lower productivity and sticky wage ￰9￱ also expects the BOE to keep interest rates on hold until the end of 2026, adding that he wouldn’t rule out the bank’s rate move being higher.

UK’s inflation data signals a potential rate cut in November Suren Thiru, ICAEW economics director, reiterated that the chances of a November rate cut are slim despite softer-than-expected ￰10￱ argued that the central bank will likely want to analyze the inflationary impact of any measures announced in the budget before relaxing policy ￰11￱ BOE’s Monetary Policy Committee’s decision on interest rates comes as Finance Minister Rachel Reeves is expected to announce tax rises during the government’s Autumn budget on November ￰12￱ is also expected to cut the rate of VAT charged on energy, which could also ease price ￰13￱ Gardner, investment strategist at J.

P. Morgan-owned digital wealth manager Nutmeg, noted that the economic picture for the UK is setting the tone for difficult decisions in the upcoming ￰14￱ believes that the Chancellor and the Bank of England both have few levers to pull as the economy experiences a period of elevated inflation and low ￰15￱ said that it’s highly unlikely to see a fourth and final rate cut this year, despite the latest reading being lower than ￰16￱ believes that there might be a cut only if the labor market significantly ￰17￱ Ryan, head of market strategy at global financial services company Ebury, said the cooling in the UK’s jobs market is calling for further reductions in the base ￰18￱ also warned that high inflation warrants ￰19￱ argued that most officials will likely need to see more evidence that inflation has peaked, which today’s data has at least marked a step in the right ￰20￱ also believes that a November rate cut is off the table, since markets currently view a December cut as more ￰21￱ argued that elevated inflation could thwart any further easing until at least ￰22￱ your strategy with mentorship + daily ideas - 30 days free access to our trading program