Bank of England Lowers Growth Forecast

The Bank of England today lowered it's assessment of the economic outlook in the UK and forecast inflation to exceed 3% in January.

The BoE now appears more cautious in it's outlook than in it's previous November Quarterly Report, saying that economic growth is set to reach only around 3.2% by the second quarter of next year - considerably smaller than their previous estimate of 4%.

The bank also said that the outlook for inflation was that it will peak at around 3.3% before slowing to 0.9%, warning that things looked "unusually uncertain".