Brexit Makes Inflation Spirals More Likely, Says Bank of England Economist

Brexit is making inflation more prone to persistent escalation, a Bank of England economist warned. Huw Pill said Monday that Britain’s efforts to control inflation are being made harder by the country’s exit from the European Union. Pill argued that structural economic changes since Brexit have increased the risk of prices developing “self-sustaining momentum,” meaning inflation could become harder to reverse. The statement was presented as part of the central bank’s broader assessment of the factors shaping UK inflation dynamics. While the brief report does not provide additional figures, it emphasizes that policy and macroeconomic shifts tied to Brexit may affect the trajectory of price growth.