Bank of England Puts Brakes on Interest Rate Hikes Amid Energy Price Uncertainty

Bank of England policymaker Alan Taylor has downplayed the need for interest rate hikes, saying it's 'not compelling' unless energy prices remain high and affect the economy more broadly.

This view echoes that of Bank Governor Andrew Bailey, who stated on Monday that there are 'no question we are seeing the direct effects of the energy shock,' but the impact is currently 'subdued.'

Taylor's comments come as the FTSE 100 fell sharply due to rising US bond yields and concerns over inflation sparking further interest rate hikes.