Bailey Signals Rate Hike Looms as Energy Costs Bite UK Economy

Bank of England Governor Andrew Bailey has hinted at an imminent interest rate hike. Speaking at the University of Oxford's Monetary Economics Conference, Bailey warned that sustained high energy costs will put pressure on the Monetary Policy Committee (MPC) to reconsider its wait-and-see approach.

Bailey emphasized that waiting for full evidence on second-round effects before making a decision would be too late, as 'it's going to get harder to maintain that stance the longer we have high energy prices for.'