Paul Hollingsworth: Bank of England may raise interest rates twice in 2026 due to inflation

According to Paul Hollinsworth, an economist at BNP Paribas, the inflationary pressure caused by high energy prices may prompt the Bank of England to raise interest rates twice in 2026. He believes that oil supply shocks and inflation stickiness make it reasonable to raise interest rates. According to data from the London Stock Exchange, the market has priced the possibility of the Bank of England raising interest rates by 25 basis points twice before September, and expects a 64% chance of a third rate hike before the end of the year.