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Bank of England Poised for Rate Hikes Amid Inflation Fears

3/20/2026

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Story summary
  • J.P. Morgan expects Bank of England to raise rates by 25 basis points in April and July, citing rising inflation risks linked to the Middle East conflict.
  • The Bank of England (BoE) policy rate remains at 3.75%, but analysts foresee hikes if energy prices continue to rise due to market disruption.
  • The war in Iran has disrupted markets, raising oil prices and fueling concerns inflation could exceed the 2% target.