Inflation For 2024 Ukg. Inflation does not directly cause recessions, but when the fed increases interest rates to control inflation, this can inadvertently spark a recession. British inflation jumped by more than expected last month to rise back above the bank of england's 2% target and underlying price growth gathered speed too, showing why.
The obr forecasts inflation to average 2.5% in 2024, before increasing to 2.6% in 2025. Inflation is easing globally, and especially in the u.s., dropping from a 2022 high of 8.7% to its current 3.2%.