UK Heading for Long Recession Says Bank of England Amid Warnings of 15 Per Cent Inflation

UK Heading for Long Recession Says Bank of England Amid Warnings of 15 Per Cent Inflation


The Bank of England has warned that the British economy is heading into a protracted recession as it raised interest rates to fight inflation amid fears of 13 or 15 per cent inflation by the end of year.

The Bank of England raised interest rates to 1.75 per cent on Thursday, the highest level since the 2008 financial crisis. The central bank raised the rates in the hopes of mitigating the expected increases to inflation, which it now forecasts as hitting 13.3 per cent this year, a four decade high.

It is now expected that at the end of the year, the British economy will sink into a recession that will last for at least five quarters, with the definition of a recession

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