BoE under pressure as UK companies plan for extended period of inflation

Two-thirds of business leaders expect rapid UK price rises to persist longer than the Bank of England hopes, with most not expecting inflation to peak until spring of next year.

The views from a June survey of the Institute of Directors’ (IoD) membership suggest that companies are planning to raise their prices in moves that are likely to embed high inflation more deeply in the UK economy.

Evidence of persistent price and wage rises…