BOE member Andrew Sentance renews his calls for interest rates hike to counter inflation in the country, saying that When it is clear that global inflationary pressures, coupled with a substantial decline in the exchange rate and reasonably healthy growth of domestic demand are all contributing to a sustained period of above-target inflation, then the time has come to act.

Inflation accelerated during last month to 3.7 percent, surpassing expectations of 3.4 percent and the previous 3.3 percent, by that, inflation remains above the bank's desired rate of 2.0 percent and the upper-limit set by the government at 3.0 percent.

Sentance The lack of a substantive policy response to consumer- price gains enhances the risk of a loss of credibility in the inflation target itself and a loss of belief in the commitment of the MPC to achieving it, the next BoE minutes meeting will probably show a three-way split for the fifth consecutive month, where Sentance probably called for interest rate hike to combat inflation, while member Adam Posen probably called for further expansion to the APF program to boost growth.