Bank of England’s Pill sees risk of ‘insidious’ build-up of inflation pressures
Bank of England chief economist Huw Pill said the Iran-war driven jump in energy prices could gradually build long-term inflation pressures in the UK, though it has not yet caused major deanchoring from the BoE’s 2% target. Pill opposed the BoE’s 6-3 decision to hold rates. Markets price a later hike due to U.S.-Iran escalation risk; most Reuters-polled economists expect no BoE rate rise.

