Why are Interest rates rising

[Parsley1234]

Why are interest rates rising to so say curb inflation when inflation markers are things such as fuel which are out of our control. It seems that we cannot curb inflation by stopping spending as everything is going up. Inflation then pushes up interest rates but we can’t just stop spending as everything is more expensive and out of our control. I may well be missing something completely here please enlighten me

The BoE is tasked with controlling inflation. They are supposed to keep inflation no higher than 2% (!!) Raising interest rates is about the only tool they have in the box. The government can control wages in the public sector in an attempt to control things as well.

@MissConductUS I was replying to a post about wage-price spiral. When the BOE warned people not to ask for pay rises do you think he was only referring to public sector workers?

It’s a worry. The main price rises are essential things that would be last to go anyway. I’m not sure raising the interest rates is going to stop the gas and electric bills going up this autumn is it?! Or petrol prices. It’s just a double whammy for most of us with rising bills and now higher mortgage payments.

I'm an American and hear very little from the Bank of England.

and?

you're the one replying to my posts for some reason 😆