BoE chief economist warns UK inflation could hit 5% - reports

A 'very uncomfortable' place for a central bank

UK inflation could hit 5%, Bank of England chief economist Huw Pill has warned, in an interview with the Financial Times.

In his first interview as BoE chief economist, Pill said UK inflation is likely to rise "close to or even slightly above 5%", but declined to state which way he would vote at the BoE Monetary Policy Committee's meeting on 4 November. "It is finely balanced," he said, adding: "I think November is live". Despite a slowdown last month, inflation in the UK has been increasing rapidly overall throughout 2021 because of surging energy prices, supply chain disruption the effects of the pandemic and its recovery. Government borrowing falls in September, but Chancellor in 'tight spot' P...