Heads up: The Bank of England is planning more interest rate hikes soon, even after raising rates to 4% this November.
Chief Economist Huw Pill says inflation is still too high and the bank is aiming for a 2% target, so expect some bold moves in the coming months to get rising prices under control.
UK Q3 growth 0.7% outpaced G7
Despite all the inflation talk, the UK economy actually grew by 0.7% in the third quarter, outpacing most other G-7 countries.
But with oil and gas prices climbing due to global tensions, inflation could hit 5% by next spring.
That means higher living costs might stick around for a while, and financial markets expect UK interest rates to rise to almost 5% in 2027.