UK inflation “to quadruple to 4% by late 2017”November 2, 2016 - 15:22 AMT PanARMENIAN.Net - UK inflation will quadruple to about 4% in the second half of next year and cut disposable income, a leading think tank has forecast, according to BBC News. The rise in prices will "accelerate rapidly" during 2017 as the fall in sterling is passed on to consumers, according to the National Institute for Economic and Social Research (NIESR). The revised figure is sharply higher than the 3% it forecast in August. The economy also faces "significant risks" that could restrict growth. "Households have really got a choice. Do they spend less or do they start saving less?" Dr Angus Armstrong, director of macroeconomics at NIESR, told the BBC's Today programme. He said given the savings ratio was at its lowest level since 2008, "the most likely scenario is that they spend much less, hence the weaker [growth] forecast for next year." Consumer Price Index (CPI) inflation rose to 1% in September, up from 0.6% in August, the Office for National Statistics (ONS) said last month. That was the highest rate for nearly two years as the cost of clothes, petrol and hotel rooms increased. The Bank of England is expected to raise its forecasts for inflation in its quarterly Inflation Report on Thursday, November 3. The pound has fallen sharply against the dollar and euro since the Brexit vote and NIESR expected sterling to remain at about $1.22 and €1.11 both this year and next. Related links: Top stories Authorities said a total of 192 Azerbaijani troops were killed and 511 were wounded during Azerbaijan’s offensive. In 2023, the Azerbaijani government will increase the country’s defense budget by more than 1.1 billion manats ($650 million). The bill, published on Monday, is designed to "eliminate the shortcomings of an unreasonably broad interpretation of the key concept of "compatriot". The earthquake caused a temporary blackout, damaged many buildings and closed a number of rural roads. Partner news | Biden honors resilience of Armenian people on April 24 U.S. President Joe Biden has issued a statement on the 109th anniversary of the Armenian Genocide. Ex-Karabakh leader moved to solitary confinement cell in Baku, his son says David Vardanyan is the son of former Karabakh leader Ruben Vardanyan who who is currently imprisoned in Azerbaijan. Macron says France commemorates 109th anniv. of Armenian genocide Today France commemorates the 109th anniversary of the Armenian genocide of 1915, Macron says. Freedom House concerned by mounting reports of police violence in Armenia Freedom House urged Armenian authorities to investigate this pattern of excessive force and inhumane treatment. |