robert wood, chief uk economist, pantheon macroeconomics. itjoins me now. no change expected today, why not? it joins me now. no change expected today, why not? good mornin: expected today, why not? good morning why expected today, why not? good morning why not? expected today, why not? good morning why not? inflation - expected today, why not? good morning why not? inflation is i morning why not? inflation is just back to the bank of england 2% target for top within that headline inflation, inflation with services, eating out, restaurants, all sorts of household services, going to out to the cinema and so on prices of these things are rising still really quickly. so yesterday we saw they were up 5.7% year on year. with that rate of increase headline inflation is not going to stay at 2% very long. at 296 very long. the next decision at 296 very long. the next decision by at 296 very long. the next decision by the at 296 very long. the next decision by the bank- at
for comment and has not offered a response. yesterday, it emerged a police officer from the prime minister s protection team had been arrested and bailed in connection with similar allegations. here is our political editor chris mason. this was the prime minister in suffolk visiting a nuclear power plant. wherever he goes he has close protection officers out a view nearby. i was tipped off to that one of them had put that s on the timing of the general election, the mitch bolton believe acknowledging i was right. they were informed by the gabler commission, the regulator, on friday. they said the matter was immediately referred to offices in the mat was immediately referred to offices in the met police directorate of professional standards who opened investigation and the officer was also removed from operational duties. the officer was subsequently arrested on monday 17 was subsequently arrested on monday i7june on suspicion of misconduct in public office. he was taken into
facing a flood of cheap chinese cars, europe s expected to raise tariffs on electric vehicles today. apple investors push its value up to record highs following its foray into the world of ai. we ll look ahead to the uk s latest economic data as april s gdp data is released. will it spur a bank of england rate cut? plus, supplies are squeezed for the makers of orange juice with prices going up due to extreme weather and disease. welcome to business today. we start in europe, where china is accused of drawing upon surplus capacity to dump electric vehicles at artificially low prices into the european market. policymakers in europe and the united states claim hefty state subsidies in china allow ev manufacturers to produce cars at prices that are impossible to compete with. in the us the biden administration raised its tariff on imports of chinese battery powered cars from 25% to 100%. later today, the european commission is expected to provisionally raise duties on ev s import
chief uk & euro area economist at nomura. good morning to you, george. so what do you think the bank will do today? i what do you think the bank will do toda ? ~ f what do you think the bank will dotoda ? ~ j ., , do today? i think they ll raise interest rates, do today? i think they ll raise interest rates, there - do today? i think they ll raise interest rates, there is - do today? i think they ll raise interest rates, there is little l interest rates, there is little doubt they ll do that, everybody is forecasting it. but the big question is whether they will do a quarter of a percent or half a percent. remember last time, every economist was looking for a quarter and they did a half. could they repeat that? i think it s unlikely because some of the economic news we ve heard has actually improved, we ve seen inflation week and a bit, we ve seen some of the surveys become a bit softer, we ve seen employment not as strong, so i think all those reasons are reasons they won t do quit
let s talk to paul dales, chief uk economist at capital economics. thank you forjoining us on bbc news. let s look at the reason behind this. why would the bank of england do this? the behind this. why would the bank of england do this? behind this. why would the bank of england do this? the truth is the uk still has an inflation england do this? the truth is the uk still has an inflation problem, - england do this? the truth is the uk still has an inflation problem, yes, | still has an inflation problem, yes, it is true that the overall rate of inflation has come down from 11% at the end of last year to the latest ofjust below the end of last year to the latest of just below 8%, the end of last year to the latest ofjust below 8%, if the end of last year to the latest of just below 8%, if you the end of last year to the latest ofjust below 8%, if you look beneath that and look at the drivers of inflation such as wage growth, wage growth is accelerating too close to 7% and unless the