LONDON (Reuters) -The British public’s inflation expectations for the next 12 months rose in July and remained high over the longer term despite a slight dip from June, according to a survey published on Friday by bank Citi and opinion poll firm YouGov.<\/p>\n
Expectations for inflation over the coming year edged up to 4% from June’s reading of 3.9%, the survey showed.<\/p>\n
Expectations for 5-10 years ahead fell to 4.2%, down from June’s 4.3% but only back to a level they touched in May.<\/p>\n
Citi economist Callum McLaren-Stewart said the stubbornly high longer-term expectations were likely to add to concerns among some Bank of England interest rate-setters.<\/p>\n
“We infer little in the way of dovish signal from this month\u2019s Citi\/YouGov survey and think this data series will continue to lean hawkish in the view of the MPC,” McLaren-Stewart said.<\/p>\n
The BoE is widely expected to cut rates on August 7 as some Monetary Policy Committee members worry about a slowdown in the labour market. However, many analysts expect the BoE to continue with its gradual pace of cuts to borrowing costs due to inflation pressures lingering in Britain’s economy.<\/p>\n
Official data published earlier this month showed British consumer price inflation rose to 3.6% in the 12 months to June from 3.4% in May – well above the BoE’s 2% target.<\/p>\n
(Reporting by Muvija M; Writing by William Schomberg)<\/p>\n","protected":false},"excerpt":{"rendered":"LONDON (Reuters) -The British public’s inflation expectations for the next 12 months rose in July and remained high…\n","protected":false},"author":2,"featured_media":290526,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,4],"tags":[748,44976,393,4884,18007,25547,1144,712,16,15,1764,80884],"class_list":{"0":"post-290525","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-uk","8":"category-united-kingdom","9":"tag-britain","10":"tag-citi","11":"tag-england","12":"tag-great-britain","13":"tag-inflation-expectations","14":"tag-monetary-policy-committee","15":"tag-northern-ireland","16":"tag-scotland","17":"tag-uk","18":"tag-united-kingdom","19":"tag-wales","20":"tag-yougov"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114913782216564849","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/290525","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=290525"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/290525\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/290526"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=290525"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=290525"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=290525"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}