BoE Governor Andrew Bailey, in an interview with Belfast Telegraph, expressed that he “wasn’t surprised” by the latest inflation report released on Wednesday. This report showcased consumer prices having ascended by 6.7% compared to the previous year in September, mirroring the growth rate observed in August.
Bailey’s added the inflation rate was “not far off what we were expecting.” Even more reassuring was the slight dip in core inflation, a development hefound “quite encouraging.”
He optimistically anticipates a “noticeable drop” in the headline inflation rate with the forthcoming October data. This anticipated decline can be attributed to the significant surge in energy prices last year, which will be excluded from the annual comparison.
However, Bailey warned, “Pay growth as measured is still well above anything that’s consistent with the target.”
