UK inflation will hit 18% in early 2023, says leading bank Citi

Forecasts updated after 25% and 7% rally in gas and electricity prices respectively last week

Inflation in the UK will hit 18% early next year as consumers count the cost of the deepening energy crisis, one of the world's biggest banks has predicted.

The US financial services group Citi said it expected the consumer prices index to breach 18% in the first quarter of 2023, while the retail prices index inflation rate would soar to 21%.