Bank of England Rate-Setters Doubt Iran War Will Trigger UK Price Spiral

Bank of England rate-setters cast doubt over the threat of a price spiral from the Iran war on Thursday, even as markets expect three hikes from the central bank this year.

At an event in London, BOE Deputy Governor Sarah Breeden said the UK faces a lower risk of second-round effects from the Middle East conflict than it did in 2022, when Russia’s invasion of Ukraine triggered an inflation crisis.