City economists are today revising UK forecasts after Rishi Sunak’s £15 billion of support to help households through the energy crisis.
They warn that there’s now a greater risk that the Bank of England will be bounced into hiking interest rates more in 2022 in order to offset the rise in inflation stemming from yesterday’s fiscal measures.
Retail stocks including Next and Marks & Spencer rose sharply yesterday as the Chancellor’s £400 energy bill reduction allayed the worst fears of investors about a household spending slowdown.
