The resurgence in oil and gas prices drove up UK businesses’ inflation expectations last month with firms planning to pass on cost increases to consumers and take a hit to profit margins.
به گزارش خبرگزاری ۶۰ثانیه، Businesses expected to raise their own prices by 3.9% over the next year, the highest reading since June and a 0.3 percentage point-increase on the previous month, according to the Bank of England’s Decision Maker Panel data, Bloomberg reported. The survey of chief financial officers also showed expectations for inflation one-year ahead picked up to 3.3% from 3.1% previously.
Expected wage growth also ticked higher, to 3.5% from 3.4%. While the inflation measures are still someway below the peaks seen after the US and Israeli attacks on Iran, the acceleration will be a concern for the UK central bank as it edges toward hiking interest rates to contain the energy shock.
Several BOE rate-setters have signaled in recent weeks that they could back an increase next month to stop the surge in oil and gas prices spreading widely across the economy. The BOE survey Friday showed almost 60% of firms plan to increase prices in response to the energy shock, while seven in 10 expected to take a hit to profit margins.
Majorities expected no impact on sales, employment or wages.
