LONDON, Feb 5 (Reuters) - British companies' expectations for wage growth in the year ahead cooled a bit in the three months to January and expectations for their prices also declined, a Bank of
Wage Growth Expectations Among British Firms Show Slight Decline
Wage Growth and Inflation Trends
LONDON, Feb 5 (Reuters) - British companies' expectations for wage growth in the year ahead cooled a bit in the three months to January and expectations for their prices also declined, a Bank of England survey showed on Thursday.
Current Wage Growth Expectations
Expected year-ahead wage growth dropped by 0.1 percentage point to 3.6% on a three-month moving-average basis in January.
Price Inflation Predictions
Companies' expectations for their own price inflation in the coming 12 months also inched down slightly, falling by 0.1 percentage points to 3.5% in the three months to January.
Bank of England's Interest Rate Stance
The central bank, which held interest rates at 3.75% on Thursday, is closely monitoring wage growth as it tries to gauge how much inflation pressure remains in the British economy and considers when to resume cutting interest rates.
(Reporting by Suban Abdulla; editing by Andy Bruce)
