UK inflation expectations for year ahead steady in April: Citi

LONDON (Reuters) – Inflation expectations among people in Britain for the year ahead remained unchanged at 2.4 percent in April, according to a survey published by financial services firm Citi and polling firm YouGov.

Expectations for annual inflation five to 10 years ahead rose to 3.1 percent in April, up from 3.0 percent, interrupting a recent series of small declines, Citi said.

“With both short and long-term inflation expectations near their averages, we think neither urgent policy tightening nor a reversal of the nascent rate hike cycle are required,” Citi said in a note.

The Bank of England is due to announce its next interest rate decision on May 10. Last week BoE Governor Mark Carney cast doubt on widely held expectations that the central bank would raise rates in May.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.