British consumer prices rose last month at the fastest pace since June 2014 and are set to rise further, propelled by higher global oil prices and the Brexit-fuelled fall in the pound, official data showed on Tuesday.
Consumer prices increased by 1.8 percent compared with a year earlier, picking up from 1.6 percent in December, and prices paid by factories jumped by more than 20 percent.
The Bank of England expects inflation to approach 2.7 percent by the end of the year while many economists say it will go above 3 percent, putting to the test the BoE’s decision to keep interest rates at a fraction above zero.
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