Dear Jeremy On 22 March 2023, the Office for National Statistics (ONS) published data showing that twelve-month inflation in the Consumer Prices Index (CPI) was 10.4% in February. As required by the Monetary Policy Committee’s (MPC) remit when inflation moves away from the 2% target by more than 1 percentage point in either direction, this letter – which will be published alongside the minutes of the Committee’s March meeting – addresses the following: • the reasons why inflation has moved away from the target, and the outlook for inflation; • the policy action that the MPC is taking in response; • the horizon over ... (full story)

Dear Andrew, Thank you for your letter of 23 March on behalf of the Monetary Policy Committee (MPC) regarding February’s Consumer Price Index (CPI) figure. The twelve-month measure of CPI inflation was 10.4% in February, which triggered an exchange of open letters under the terms of the MPC remit. This is the seventh consecutive exchange of letters regarding abovetarget inflation and my second as Chancellor. The government’s commitment to the 2% CPI inflation target, and the independence of the Bank remains absolute. As you know, it is essential to businesses and households across the country that inflation is ... (full story)