U.K. Growth Surprise Clears Path for Bank of England Rate Rise
- Services drive expansion as construction sector shrinks
- BOE may increase interest rates as early as next week
Panmure Gordon's French Says BOE Will Raise Rates
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The U.K. economy’s surprise acceleration has paved the way for the Bank of England to raise interest rates for the first time in a decade next week.
The pound rose and investors increased bets on a tightening of monetary policy on Nov. 2 after initial data showed 0.4 percent growth last quarter, more than economists forecast and the fastest pace of the year so far. This is the last major economic report BOE officials will get on the health of the economy before their crucial meeting.