Make UK comment on interest rate increase

Commenting on the increase in interest rates Fhaheen Khan, Senior Economist at Make UK, said:

“The MPC has been boxed into a corner with the barrage of hits the world economy has been taking in recent months. From the knock-on effects of Covid19 lockdowns in China, the summer heatwave impact on global crop yields, to the energy crisis and supply chain disruptions caused by Russia’s invasion of Ukraine, businesses have been battered.

“The Bank of England’s decision is therefore a predictable attempt to strangle the inflationary pressures firms and households are facing. While the consequences for those with large debt repayments may be bruising, today’s decision is necessary if UK businesses are to have a fighting chance.”