Economy

UK interest rate rise ‘increasingly likely’ with high energy prices; inflation fears hit bonds – as it happened

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Based on a feed excerpt; full article content has not been acquired. Source evidence retrieved 24/09/2026, 16:05:25 UTC.

Briefings

A Bank of England deputy governor warned that rising energy prices from the Middle East conflict could trigger further interest rate hikes to combat inflation. Clare Lombardelli stated that persistent energy shocks risk pushing UK inflation higher, while strong AI demand and weather shocks add to export price pressures. Trade diversion is noted as a potential factor reducing inflation, but the core issue remains the interaction between energy prices and the broader economy rather than spot energy prices alone. The article was published on September 24, 2026, at 06:17 UTC, and the analysis covers the period up to that date.

Key points

• Clare Lombardelli, a Bank of England deputy governor, warned that rising energy prices from the Middle East conflict could trigger further interest rate hikes to combat inflation.
• The article notes that strong AI demand and weather-related shocks add to global export prices, while trade diversion is noted as a potential factor reducing inflation.

Context and limitations

The analysis covers the period up to September 24, 2026, and the specific impact of trade diversion on inflation remains unquantified in the provided text.

Generated by Bittrees-hosted qwen35-2b sha256:aaf42c8b7c3c on 24/09/2026, 16:07:05 UTC. Based on publisher-provided feed evidence; may not cover the full original article. Check the source for details.

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