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Bank of England hikes interest rates to 13-year high

Máj, 05 2022

The Bank of England has raised interest rates to the highest level since 2009 to counter inflation, which could exceed 10% this year.

The regulator raised the rate from 0.75% to 1%. Some representatives of the central bank called for an even greater increase – up to 1.25%, in order to eliminate the risk of inflation entering the economy.

Today's Bank of England move represents the fourth consecutive rate hike since December – and the fastest increase in borrowing costs in 25 years.

The regulator also did not rule out further tightening of monetary policy in the coming months.

In addition, the Bank of England said that it is also concerned about the impact of China's policy to block Covid-19, which threatens to hit supply chains again and increase inflationary pressures.

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Ekonomické správy

Bank of England hikes interest rates to 13-year high

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