Bank of England raises interest rates, forecasts shallower recession

Updated: Feb 2 2023 7:29PM

London, Feb 2 (PTI) The Bank of England on Thursday raised interest rates by another half percentage to hit 4 per cent, the tenth consecutive rate hike in the central bank's battle to curb soaring inflation even as it forecast a shallower recession this year than previously feared.

In an accompanying monetary report, the Bank hinted that there is a chance this week's might be the last interest rate hike for some time, saying that it would only raise rates further "if there were to be evidence of more persistent (inflationary) pressures" than in it expects.

The Bank has alongside upgraded its forecast for the British economy, with inflation having "peaked" and expected to come down gradually this year.