Inflation is steadily making its way back towards the Bank of England’s 2 per cent target and depending on who you listen to, it may even be back there by summer.
But opinions are divided on what happens next.
Will consumer prices inflation slump and stick below 2 per cent and the UK economy get stuck in another disinflationary trap, or will we see another spike as second round effects take hold?
While economists can ponder this, it’s an urgent puzzle for the Bank of England’s ratesetters to try to solve. On this podcast, Georgie Frost, Angharad Carrick and Simon Lambert look at what’s driving inflation down and where it may head next.
The team also look at food prices and whether 18 months of heavy rainfall and recent floods are about to start driving them back up again.
Plus, Neil Woodford’s back with a blog to ‘challenge consensus thinking’, what’s he doing, why and is it worth reading?
New Isa rules are meant to improve things for savers but banks aren’t playing ball.
And finally, how much is your supermarket charging for a plastic or even paper bag – and where is that money going?
We publish the podcast every Friday to the player on This is Money, above, and on Apple Podcasts (iTunes), the most popular,Spotify, Audioboom, and so many more.
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Is there a risk that inflation falls below 2% and then spikes again? This is Money podcast
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