The Bank of England held interest rates at a six-year high of 5.5 per cent today as expected, although most economists predict another rise before long.
Markets are fully pricing in a rise to 5.75 per cent this summer as all nine Monetary Policy Committee members agreed last month that a rate increase on top of May's quarter percentage point move would probably be needed.
Some policymakers even considered a 50 basis points increase at the May meeting.
Policymakers have also made clear they are worried about rising price pressures. Annual inflation has slipped from its series high of 3.1 per cent in March but is still running way above the central bank's 2 per cent target.
Business surveys have been showing firms increasingly confident about raising their prices, and consumer spirits are high despite the full percentage point rise in borrowing costs over the past year.