Following a larger-than-expected rise in inflation in the year to January 2025, most of our panel of City economists have revised their forecasts upwards. According to these, the RPI could rise as high as 4.6% by the autumn, while the CPI might peak at around 3.8%. The economists in our panel concentrate on the RPI because of its role in uprating the prices of Government bonds, while the CPI is the Bank of England’s target for macroeconomic management. But most omit the CPIH, which is the ONS’ headline measure, from their forecasts.
