How High Will UK Interest Rates Go? Another Rise By Bank Of England Probably Coming In December

23rd November 2022

Bank of England to raise Bank Rate by 50 bps in December and may peak at 4.25% in 2023.

The next announcement y the Bank of England is due on 15 December 2022.

The Bank of England is preparing to further raise interest rates over concerns that inflation could become embedded in the British economy, despite the growing risks of a prolonged recession, its chief economist has warned.

Investors expect the bank to continue its programme of raising rates into next year, despite Bailey stressing that each decision is made on its merits from one meeting to the next. Until recently, the base rate was forecast to reach 5% before falling back in 2024.

Inflation is currently 11.1% the highest for over 40 years.