UK braces for biggest hike in interest rates in 27 years: Report

Bank of England says prices may leap as much as 11% this year

The Bank of England is expected to step up its fight against inflation in the coming week, joining some 70 other institutions around the world in delivering a half-point increase in borrowing costs.

The move anticipated by most analysts and investors would mark the UK’s biggest increase in interest rates in 27 years and accelerate a historic pivot away from the era of cheap money. Governor Andrew Bailey has suggested the hike won’t be the last, saying policy makers are prepared to act “forcefully,” if necessary, to rein in inflation.

The BOE was first among major-economy central banks to raise rates after