Bank of England’s inflation response ‘risks higher interest rates for longer’

<p>Thinktank Niesr says timid rate rise last week likely to make inflation more persistent feature of UK economy</p><p>The Bank of England is risking higher interest rates for longer after a <a href="https://www.theguardian.com/business/2026/nov/05/bank-of-england-raises-interest-rates-first-increase-for-more-than-three-years">hesitant response to rising inflation</a>, according to leading thinktank.</p><p>In a searing critique of the central bank’s tactics, the National Institute of Economic and Social Research (Niesr) said a timid increase in interest rates last week was likely to mean inflation staying above the Bank’s 2% target until at least 2030.</p> <a href="https://www.theguardian.com/business/2026/nov/11/bank-of-england-inflation-response-risks-higher-interest-rates-for-longer">Continue reading...</a>