Economic week ahead

Thursday could see the biggest event in UK interest rates for almost a decade. Mark Carney and his colleagues at the Bank of England are expected to raise rates to 0.75pc – the first time they will have been above 0.5pc since that emergency rate was introduced in 2009.

The Monetary Policy Committee raised rates from a post-eu referendum 0.25pc back to 0.5pc in November 2017, but this will be the first step towards normalising rates.

Markets believe there is a roughly 90pc chance of this happening. However, it could be a one-off.

Economists do not anticipate more rate rises during the tense Brexit negotiations taking place later this year, and sluggish domestic inflation means there may be little need for other hikes in the years to come.

The Bank’s Inflation Report will also be closely watched for its insights into the strength of the economy after a tough start to 2018. So far, the jobs market has held up very well, however, encouraging the Bank to look at higher rates.