UK interest rates could rise to 4.5% in face of stubborn inflation

The Bank of England is not ready to stop raising interest rates as soaring food prices have kept UK inflation elevated, economists have said. UK Consumer Prices Index (CPI) remained firmly in double digits in March, squeezing household budgets and proving more stubborn than expected. It means the Bank’s policymakers could be prompted to raise interest rates again, from the current rate of 4.25%, when they meet on Thursday.