16 Dec 2021

Bank of England hikes interest rates amid soaring inflation

Economics Correspondent

At a time when the economy faces a growing threat from the Omicron surge, the Bank of England has hiked interest rates for the first time since the start of the pandemic. They’ve risen from their historic low of 0.1% to 0.25%.

The Bank’s Monetary Policy Committee voted for the move – amid the highest rate of inflation for a decade – and fears that living costs could peak at 6% next spring, three times the official target level.