UK inflation climbed to 2.6% in November, exceeding the Bank of England's target, despite the economy shrinking slightly.

UK inflation rose to 2.6% in November, up from 2.3% in October, driven by higher fuel, clothing, and recreation prices. This marks the second consecutive month of rising inflation, surpassing the Bank of England's target of 2%. Economists predict that the Bank will maintain interest rates at 4.75% to curb inflation, which is also influenced by increased public sector wages and higher tax contributions. Despite the inflation rise, the UK economy unexpectedly shrank by 0.1% in October.

3 months ago
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