UK inflation expectations rise for first time since August: Citi/YouGov

[LONDON] The British public's expectations for inflation in the next 12 months and further ahead rose this month for the first time since August, according to a survey published on Wednesday.

The monthly Citi/YouGov poll found year-ahead inflation expectations rose to 1.4 per cent in March from 1.0 per cent in February.

Expectations for inflation over the next five to 10 years rose to 2.8 per cent, up from the record-low 2.6 per cent seen in January and February.

"Although headline CPI inflation is at zero and may well turn slightly negative in coming months, there is no sign that a deflation mentality is taking hold," said Michael Saunders, economist at survey sponsor Citi.

British consumer price inflation fell to zero per cent last month for the first time on record, according to official data on Wednesday.

REUTERS