Energy price cap’s trickle effect on inflation and three likely scenarios for UK consumers, according to market experts
Top market analysts at CMC Markets predict a wave of bad news after UK inflation did not fall as low as expected. The new Ofgem price cap changes little for household bills, but the end of the two government schemes helped lower inflation. They forecast three bleak scenarios: further squeeze on consumers, another rise in the base rate, or the UK going into recession. There is, however, the cautious chance that the long streak of rate hikes may be nearing an end.