BOE May Raise Rate by Record on Inflation, SocGen Says

The Bank of England will probably increase interest rates this year by the most since it gained independence in 1997 or face losing its credibility, Societe Generale SA Chief U.K. Economist Brian Hilliard said.

“There is an urgency there, if the market starts to worry that we are going to lose the credibility of the target,” London-based Hilliard said in a telephone interview today after changing his rate forecast late yesterday. “To start the ball rolling, they need to do something that is more substantial.”