A dramatic shift in the outlook for interest rates has been seen with money market indicators now pricing in a base rate rise to 0.75% in two years' time rather than three.
UK CPI inflation rose from 2.4% to 2.7% in May, according to the Office for National Statistics, a larger than expected rise driven by transport and clothing costs.
UK CPI inflation has fallen to 2.4% in April, a larger-than-expected drop from the 2.8% figure recorded in March.
High inflation has hit the UK economy by £10bn over the past three years, according to a report from Ernst & Young (E&Y).
More than half of advisers believe pensions invested in lifestyle funds are riskier than they were twelve months ago, as a result of speculation about a bubble in the bond market.
We reveal the best strategies to use to combat the destructive impact of inflation...
Andrew Wells, Fidelity's global CIO for fixed income, has said this year will be about the hunt for income, but warned low interest rates and low growth will be dangerous for investors.
PIMCO has launched an Inflation Strategy fund for Mihir Worah in response to the threat of rising inflation across the globe.