The UK's prices went up faster than expected in January! This means things like food and plane tickets cost more. This is called inflation. It's like when your favorite toy gets more expensive.
- Inflation rose to 3%, higher than predicted.
- Higher prices are making things tough for people.
- The Bank of England might not lower interest rates as much as they planned.
| Thing | Number |
|---|---|
| Inflation in January | 3% |
| Bank of England's target inflation | 2% |
| Interest Rate | 4.50% |
Economists aren't sure what will happen next. Inflation might go up a bit more before going down later this year. This affects how much the Bank of England changes interest rates.
