Investing.com — The Bank of England released results from its quarterly survey of public attitudes toward inflation on Friday, showing increased expectations across multiple timeframes compared to the previous survey in February 2026.
The survey, conducted by Ipsos between April 30 and May 5, 2026, interviewed a quota sample of people aged 16 to 75 across the United Kingdom.
Respondents estimated the current inflation rate at a median of 5%, up from 4.6% in February 2026. For the coming year, median inflation expectations rose to 4% from 3.2% in the previous survey.
Looking further ahead, respondents expected inflation to reach 3.5% in the 12 months following the next year, up from 3.2% in February. Five-year inflation expectations increased to 3.9% from 3.7%.
A large majority of 78% of respondents believed the economy would weaken if prices began rising faster, compared to 72% who held this view in February. Only 4% thought the economy would strengthen under such conditions.
Regarding the inflation target, 39% of respondents considered it appropriate, unchanged from February. Meanwhile, 32% viewed the target as too high and 12% saw it as too low.
Public perception of interest rate movements shifted substantially. Some 49% of respondents said interest rates on mortgages, bank loans and savings had risen over the past 12 months, up from 32% in February. The proportion who thought rates had fallen dropped to 18% from 35%.
Looking forward, 53% of respondents expected interest rates to rise over the next 12 months, up from 30% in February. Those expecting rates to decline fell to 11% from 29%.
When asked about optimal policy for the economy, 12% thought rates should increase, 38% preferred lower rates, and 26% favored no change. For personal circumstances, 23% said higher rates would be better for them, while 34% preferred lower rates.
The net satisfaction balance for the Bank of England’s performance in setting interest rates to control inflation was -2%, down from 2% in February.