UK inflation rises in January as consumers pay more for food

SourceGulf Today
SectorEconomy
CountryMiddle east

Shoppers at a supermarket in London. File/Reuters British inflation edged up in January as locked-down consumers paid more for food and sellers of furniture and other household goods offered smaller-than-usual New Year discounts to people seeking to spruce up their homes. The annual 0. 7% increase in consumer prices is expected to gather speed in the coming months - pushed up by the end of an emergency tax break and possibly the impact of Brexit - and might go above the Bank of England's (BoE) 2.

0% target this year. Economists said there was little pressure on the central bank to think about scaling back its stimulus plans. However, yields on 10- and 30-year British government bonds extended their recent climb and hit their highest since March 2020 as investors prepare for higher inflation and more fiscal stimulus in the United States."Inflation rose slightly in January, with food prices increasing. Household goods also pushed up prices with less discounting this...read more...