Mann, a hawkish official at the Bank of England, warns of stubbornly high inflation and rising yields on short-term gilts.

[bank of England hawkish official Catherine Mann warns against stubbornly high inflation short-term gilt yields] the Bank of England's monetary policy commissioner Mann (Mann) said she was still "very worried" about continuing pressure to push up UK inflation, a remark that reinforced market expectations of an interest rate hike. In particular, she highlighted higher wages for new hires, "sticky" core inflation and disturbing price increases in the UK service sector. Money markets have stepped up expectations of further interest rate hikes by the Bank of England this year. They expect terminal interest rates to be just over 5.6% by the end of the year, the highest expected peak since May. Investors sold short-term gilts, one of the most sensitive to changes in monetary policy, pushing up the yield on two-year gilts by 12 basis points to 4.66 per cent at one point, bringing it very close to the peak after the release of Truss's budget last September.