BOE’s Mann Says UK Inflation Expectations Drifting Toward 4%
Shoppers browse and buy fruit and vegetables for sale at an independent greengrocer's market stall in London.
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Bank of England policy maker Catherine Mann said inflation expectations are becoming “increasingly embedded” in the prices that companies are setting and are drifting toward double the 2% target level.
“Services pre-Covid were running at well below 2% inflation,” Mann said in a web event on Tuesday. “Now services are running above 3%. This is a dramatic change in the underlying pace of inflation.”