The Bank of England's Forecast for Inflation

We've seen a very sizable increase there and alongside the fact that wages are still growing at a reasonable tick, I mean we saw for example this week the figures from expert HR which said that we had another 6% reading on pay settlements growth. We now think the peak rate in the Bank of England will be $5.25 up from our previous $4.75 view. They'll probably need to keep in place very tight monetary policy for quite a bit to deal with this inflation problem.