Currency Analyst since 2010

Bank of England: inflation report in brief

Here’s the main news from UK central bank’s quarterly inflation report:

  • GDP growth is expected to accelerate to 0.5% in Q2 2013 (it was 0.3% in Q1).
  • Inflation will reach its peak at 3.1% in Q3 2013 (it was 2.8%y/y in March).
  • GDP growth is expected to accelerate to 1.7% in Q2 2014 and 2.2% in Q2 2015.
  • CPI is seen above 2% for much of next 2 years.
  • Forecasts assume financial crisis impact is slowly fading.

The Bank of England Governor Mervyn King declared a UK recovery is now “in sight”. Still, according to King said risks remain, in particular tensions in the euro area will make the recovery of British economy more difficult.  

Scroll to top