Year Long Recession

Economists warning of shock after rate hikes

- GRAHAM HISCOTT

Bank of England rate hikes will push the UK into a year-long recession, economists warn.

Bloomberg Economics forecasts a downturn from the end of this year if the Bank raises interest rates to 5.75 percent to try to cool inflation.

But it says that any recession will be shallow, wiping out 1 percent of output.

It raises the prospect of Britain being in recession, or coming out of one, by the next general election.