Bank of England sees GDP growth accelerating to 0.5 per cent

(Source: Bank of England)

The Bank of England (BoE) has revised up its growth forecast for the second quarter to 0.5 per cent and revised down its inflation forecast. However, this was predicated on the the assumption that that there is zero to positive quarterly growth in the Eurozone. In the first quarter Eurozone GDP dropped by 0.2 per cent.

Estimates of inflation see it holding above the two per cent target for the most part over the next two years, with CPI falling to below target in the third quarter of 2015.

(Source: Bank of England)

You can watch BoE governor Sir Mervyn King at the inflation report press conference here.