Bank of England cuts inflation forecast

The Bank of England's inflation report published Wednesday 13 August showed that the Bank expects inflation to dip below the 2.5 percent target for most of 2004, after reaching 3 percent in April.

Source: Bloomberg

The Bank of England cut its inflation forecast for the first time since November 2001, suggesting policy makers are in no hurry to lift interest rates from their lowest in almost a half century.

Inflation will fall below the government's target of 2.5 percent most of next year after