Fewer Britons expect interest rates to rise next year, BoE says

Consumers’ expectations for inflation over the coming year were unchanged in November.

The median expectation for the rate of inflation was at 2.0%, unchanged from August’s reading, according to the Bank of England/GfK Inflation Attitudes survey.

Expectations for the pace of increases in the cost of living in five years’ time on the other hand edged up to 2.9% from 2.8%.

Nonetheless, there was a considerable increase in the proportion of respondents, from 26% to 38%, who said interest rates might stay about the same over the next twelve months.

Similarly, the percentage of those who think that higher interest rates would be best for the economy slipped from 22% to 16%.

A total of 1,963 people participated in the survey, which was conducted by GfK between 5 and 10 November.