Yael Selfin, Chief Economist at KPMG UK comments on today’s inflation figures
“Relatively subdued inflation in March reduces pressure on the Bank of England to act” says Yael Selfin, Chief Economist at KPMG UK:
“Today’s figures paint a picture of relatively subdued inflationary pressures, despite the increasing tightness of the UK labour market.
“The figures will offer some comfort for businesses worried about the extra costs associated with the departure from the EU, as well as the prospects of rising costs of capital.
”Looking ahead, we expect CPI inflation to remain slightly below the MPC target of 2% this year, before staying around its target in the medium term.”
© 2020 KPMG LLP, a UK limited liability partnership, and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
KPMG International Cooperative (“KPMG International”) is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.