There is “considerably more doubt” over when future interest rate cuts can take place, the governor of the Bank of England has said.
Andrew Bailey told a committee of MPs that the risk of inflation had gone up and he was “more concerned” about weakness in the labour market.
Bank staff projections expect the main measure of inflation to rise to 4% this year – double the 2% target rate – from its current level of 3.8%.
On the prospects for further interest rate reductions this year he said: “There is now considerably more doubt about when and exactly how quickly we can make those further steps. That’s the message I wanted to get across.”
Money latest: Wetherspoons stops accepting some banknotes in England
Be the first to get Breaking News
Install the Sky News app for free
This breaking news story is being updated and more details will be published shortly.
Please refresh the page for the fullest version.
You can receive Breaking News alerts on a smartphone or tablet via the Sky News App. You can also follow @SkyNews on X or subscribe to our YouTube channel to keep up with the latest news.
