Breeden Warns UK Interest Rates May Hike if Inflation Risks Persist

Bank of England Deputy Governor Sarah Breeden emphasized that responding to rising inflation risks through interest rate hikes is increasingly appropriate.

Breeden, who oversees financial stability, stated that policymakers should not delay in addressing second-round effects from high energy prices, as waiting could lead to regrettable consequences.

The Monetary Policy Committee's recent tone shift may pave the way for a November rate hike, following similar moves by the European Central Bank and U.S. Federal Reserve.