Deutsche Bank analyst Sanjay Raja said June inflation gives the Bank of England more time. Headline CPI fell to 2.6% in June from 2.8% in May, leaving overall CPI 0.4 percentage points below the Bank of England's April Monetary Policy Report forecast. A rebound in commodity prices, notably energy and fertiliser, should keep inflation forecasts elevated; inflation is expected to rise from current levels and could approach 3.5% in Q4. Deutsche Bank said this will likely keep any rate‑cut prospects

Deutsche Bank analyst Sanjay Raja said June inflation gives the Bank of England more time. Headline CPI fell to 2.6% in June from 2.8% in May, leaving overall CPI 0.4 percentage points below the Bank of England's April Monetary Policy Report forecast. A rebound in commodity prices, notably energy and fertiliser, should keep inflation forecasts elevated; inflation is expected to rise from current levels and could approach 3.5% in Q4. Deutsche Bank said this will likely keep any rate‑cut prospects temporarily on hold while allowing the MPC to retain a slight tightening bias.