United Kingdom · Economy

UK growth faces a test as inflation is projected to rise

The Bank of England projected 0.7% quarterly GDP growth for Q3 and inflation around 5% by mid-2027. Both figures are forecasts.

Event: 5 November 2026Checked: 10 November 2026
Original Finance Hub brief: UK growth faces a test as inflation is projected to rise
Original Daily Money Brief visual · See the written context and source dates alongside.
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+0.7%Bank of England Q3 GDP growth expectation
≈5%Projected CPI inflation around mid-2027
01

What happened

The Bank of England’s November report expected Q3 GDP to rise 0.7% quarter on quarter, following 0.5% in Q2. It projected inflation around 5% by mid-2027. On 5 November it announced a 0.25-percentage-point Bank Rate rise to 4%.

02

Why your money cares

Growth and inflation can move together. Higher borrowing costs and energy bills can offset stronger activity for a household.

03

What to watch

Compare the subsequent official GDP release with the forecast. Reassess inflation projections as new data arrive.

Sources & editorial context

Original 9 November Finance Hub graphic. The written context attributes the figures to the Bank’s 5 November report and labels both as projections.

Educational content only—not personal financial, investment, tax or legal advice. News reflects the information available on the dates shown; terms and circumstances can change.

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