Bank of England's Pill says more rate hikes likely in 2027 as the ECB's Nagel sees another - MLQ.ai

The Bank of England will probably have to raise interest rates further in 2027, on top of another increase in December, chief economist Huw Pill told the Financial Times in an interview published on Saturday [1] [2] . "In my view, we waited too long," Pill said of the Bank's response to the inflation shock from the Iran war, adding that because of the delay "the ability to be modest has diminished" [2] . The BoE raised Bank Rate to 4% from 3.75% on Nov. 5, its first increase since 2023 , a move Pill called a "significant step" [2] . "We have further to go," he said, and "my view would be we will see evidence that motivates further rises" [2] . The FT reported that he signalled he would vote for another quarter-point increase at the Dec.