BOE Interest Rate Hike Looms as Inflation Concerns Mount

The Bank of England may raise interest rates to four percent by the end of this year, according to Goldman Sachs.

The top Wall Street bank has upgraded its interest rate expectations due to concerns that inflation could jump higher than previously expected.

Goldman Sachs' economists, James Moberly and Sven Jari Stehn, predict that the Bank's Monetary Policy Committee will raise interest rates in November.

This forecast is based on the risk of 'persistently higher' oil and gas prices across international markets, which could drive up inflation.

However, not all City economists agree. Some believe the Bank will leave interest rates unchanged this week, while others think there's a chance it may surprise traders by being less hawkish than expected.