Bank of England announces three consecutive rate hikes “to curb inflation”

The Bank of England, the central bank of the United Kingdom, has announced three consecutive rate hikes to curb historic inflation.

The Bank of England announced on the 17th that it has decided to raise the policy interest rate from 0.5% to 0.75% as a result of the regular meeting held until the day before.

This is the third consecutive rate hike following the February meeting.

In the UK, the consumer price index in January rose 5.5% from the same month of the previous year to the highest level in about 30 years due to the rise in energy prices, etc., in order to suppress rapid inflation. We have decided to further tighten monetary policy.

Prior to this, the US Federal Reserve Board has decided to lift the zero interest rate policy, and there is a growing movement among central banks in each country to raise the policy interest rate.

However, Russia's military invasion of Ukraine has raised concerns that prices of energy and grains will rise further and inflation will accelerate, making it difficult for central banks to steer.