Traders slash rate cut bets as Britain told it ‘can’t afford Labour’18 Dec 2024 15:38
Investors now expect just two interest rate cuts at most from the Bank of England next year after inflation rose to the highest level in eight months.Sanjay Raja of Deutsche Bank said: “Price pressures are resurfacing again – with employers likely to start ramping up prices at the start of the year to account for the employer Nics increase.”
ONS chief economist Grant Fitzner said inflation rose again “as prices of motor fuel and clothing increased”.
Core inflation, which strips out volatile food and energy prices, rose from 3.3pc in October to 3.5pc in November, while closely watched services inflation - covering the dominant sector of Britain’s economy - was unchanged at 5pc...........