What UK inflation spike means for Bank of England rates

The outlook for UK interest rates has been clouded once again this week by strong data on the labour market and inflation. The main inflation rate jumped to a 10-month high in January, while the core rate is now printing at nearly double the BoE’s 2% target. Could this herald a slower pace of rate reductions ahead? Or will the committee prioritise supporting Britain’s admittedly fragile growth outlook? Elsewhere, European currencies have been buoyed by hopes of a peace deal between Russia an...