Bank of England says inflation will hit 11% after raising interest rates to 13-year high of 1.25% – business live

UK central bank has raised interest rates to 1.25%, warned inflation will exceed 11% in autumn, and cut growth forecast for this quarter

• Latest: Inflation likely to exceed 11% in October
• Bank estimates UK GDP will shrink 0.3% this quarter
• Breaking: BoE raises rates to 1.25%, highest since 2009
• Three policymakers wanted higher rise, to 1.5%
• UK food price rises could surge 15% over summer, report says

The boss of Halfords has accused the Government of taking a “backwards step” by stopping last remaining subsidies for electric cars.

Graham Stapleton, Halfords CEO, said the closure of the £300m plug-in car grant scheme for new orders earlier this week would hurt mass take-up of electric cars.

Until now, we have been greatly encouraged by the Government’s commitment to making the transition to electric cars.

However, the sudden and complete removal of the plug-in subsidy is a backward step.

While rising inflation and declining consumer confidence will naturally present short-term challenges for any customer-facing business like ours, we remain confident in Halfords’ long-term growth prospects due to our service-led strategy and the enduring strength of our brand, people, products and services.

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Source: theguardian
Bank of England says inflation will hit 11% after raising interest rates to 13-year high of 1.25% – business live