Barclays: Expect a decrease in UK businesses raising prices due to energy shock.

The latest monthly decision-makers group data from the Bank of England shows that in May, the number of UK businesses expected to raise prices due to global energy shocks decreased compared to the April survey. In the May survey, 57% of businesses are expecting to raise prices, a decrease from the 64% in the April survey. Barclays economists stated in a report that the latest data alleviates concerns about businesses raising prices and increasing the risk of inflation. Data from the London Stock Exchange Group shows that investors are reflecting an expectation of a total increase of 41 basis points in the UK benchmark interest rate by 2026.