Russia heading for deepest recession since Soviet collapse, UK warns, as inflation jumps – as it happened

Rolling coverage of the latest economic and financial news

• Latest: Russian consumer prices jump over 7% in a month
• UK: Russia heading for deep recession as sanctions hit
• Russia cuts interest rates from 20% to 17%
• Food prices hit record highsas Ukraine war rattled wheat and oil markets
• UK airlines warned over travel disruption
• Airlines and cross-Channel services brace for busiest weekend since Covid
• Customs IT meltdown adds to long delays at Channel crossings

Just in: Russia's central bank is cutting interest rates from 20% to 17%.

The move reverses some of the doubling of interest rates last month, when the Ukraine war triggered the first wave of sanctions on Russia and sent the rouble plunging.

Today's decision reflects a change in the balance of risks of accelerated consumer price growth, decline in economic activity and financial stability risks.

In its further key rate decisions, the Bank of Russia will take into account risks posed by external and domestic conditions and the reaction of financial markets, as well as actual and expected inflation dynamics relative to the target and economic developments over the forecast horizon, and holds open the prospect of further key rate reduction at its upcoming meetings.