UK Inflation Rises to 2.9%, Raising Pressure on Bank of England's Monetary Policy

UK inflation has risen to 2.9%, with expectations of further sharp increases in household energy prices this autumn and ongoing disruption to energy supplies through the Strait of Hormuz. Farmers are also warning of potential food shortages, adding to price pressures. Despite these supply-side driven inflationary concerns, the Bank of England faces a critical decision on whether to raise interest rates, which could further impact household spending and increase the likelihood of a recession.