Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the UK’s supply chain crisis and business.
The supply chain problems gripping the global economy are threatening to undermine the recovery, and raising fears of stagflation — that sickly mix of rising prices and slowing growth.
With energy prices surging, and companies still struggling to get their hands on parts and raw materials, policymakers fear that the rebound from the recovery is faltering.
Bank of England governor Andrew Bailey has warned the UK’s recovery to its pre-pandemic size will take longer than hoped, as supply chain problems drag on growth — and help to push the pound to its lowest level this year.
The pound has come under pressure as fears over “stagflation” stalk the economy amid a supply chain crisis and surging energy prices https://t.co/CqzjfjGWvv