The Guardian reported that the Bank of England has increased its interest rate to 4%, adding 0.25 percentage points to borrowing costs. According to the Guardian, the move runs counter to Office for Budget Responsibility analysis expecting inflation to fall and wage growth to remain limited. The Guardian noted households are dealing with another cost-of-living squeeze, the second in four years, and suggested many will question the decision when they see little sign of a strong economy in their own neighbourhoods.
Source: The Guardian.
