The Bank of England’s (BOE) Decision Maker Panel survey of chief financial officers showed on Thursday, British businesses’ expectations for consumer price inflation rose in August.
Expected year-ahead annual output price inflation was 6.5% in the three months to august, up from 6.3% the previous month.
Over the next 12 months, firms expected unit cost growth to be 8.3%.
DMP members expected cpi inflation to be 8.4% one-year ahead, up from 7.3%.
Expected year-ahead employment growth was 2.2% in the three months to august, down from 2.4%.
Overall business uncertainty edged up in August.
Uncertainty relating specifically to the conflict in Ukraine and to Brexit also increased.
GBP/USD remains vulnerable near 1.1600 amid risk-aversion, US dollar strength and UK political woes. The spot is down 0.25% on the day.