Bank of England Forecasts Lower Inflation
LONDON (AP) – Bank of England Governor Mark Carney says inflation is “more likely than not” to continue to fall below one percent in the next six months and that growth will be slightly weaker due to a global slowdown.
Economic Growth Predictions for 2025
As he released a quarterly report on the country’s economy, Carney said Wednesday that growth expectations for next year have been trimmed from 3 percent to 2.9 percent due to weaker activity in Europe and China.
Strong Demand and Low Unemployment Persist
But demand in Britain remains robust, supported by easier credit conditions and stronger confidence. Another plus is that unemployment is down, reaching 6 percent in the three months to August.
Interest Rate Policy Remains Cautious
The bank maintained its guidance that future interest rate increases will depend on economic growth, and that when the bank raises rates, it will do so gradually.
