UK: Bank of England launches biggest interest rate hike in 27 years, predicts lengthy recession

Source: CNBC

“The Bank of England on Thursday hiked interest rates by 50 basis points, its largest single increase since 1995, and projected the U.K.’s longest recession since the global financial crisis. The sixth consecutive increase takes borrowing costs to 1.75% and marks the first half-point hike since the bank was made independent from the British government in 1997. The Monetary Policy Committee voted by a majority of 8-1 in favor of the historic half-point rise, and cited climbing inflationary pressures in the U.K. and the rest of Europe since its previous meeting in May. … The bank now expects headline inflation to peak at 13.3% in October and to remain at elevated levels throughout much of 2023, before falling to its 2% target in 2025.” (08/04/22)

https://www.cnbc.com/2022/08/04/bank-of-england-launches-biggest-interest-rate-hike-in-27-years.html