Energy price shocks could delay cuts and raise prospect of further hikes

THE BANK OF ENGLAND has held interest rates at 3.75%, as rising tensions in the Middle East push up global energy prices and increase the risk of further inflation.

The decision by the Monetary Policy Committee reflects growing caution among policymakers, despite recent signs that inflation in the UK had been easing.

However, the escalating crisis in the Middle East has unsettled financial markets, with oil and gas prices climbing amid fears of supply disruption and instability along key shipping routes. Economists warn that sustained increases could quickly filter through to higher fuel, transport and manufacturing costs, as well as rising household energy bills.

Emeritus Professor Joe Nellis, economic adviser at accountancy firm MHA, said the latest developments have significantly reduced the likelihood of interest rate cuts in the near future.

He warned that policymakers are mindful of past criticism that central banks reacted too slowly to rising inflation in 2021 and 2022, when price pressures were initially dismissed as temporary.

“The Bank will want to stay ahead of inflation this time,” he said, adding that while current pressures may not yet be structural, officials are likely to act quickly if risks intensify.

The prospect of prolonged high interest rates presents challenges for businesses already grappling with increased operating costs. Higher borrowing costs are expected to weigh on investment, particularly in hiring, potentially weakening the labour market further.

Economists say that while holding rates steady avoids an immediate squeeze on borrowers, the wider outlook remains uncertain. Any sustained rise in energy costs could force the Bank to tighten monetary policy further in order to keep inflation under control.

For households and businesses hoping for a return to lower interest rates, expectations have now shifted, with rates likely to remain higher for longer — and the possibility of further increases still on the table.

Local success stories highlight surge as more than 20,000 people learn Welsh across Wales

A PEMBROKESHIRE-BASED Welsh tutor who once learned the language as an adult is now helping others follow in his footsteps — as new figures reveal a record number of people learning Welsh across Wales.

David Thomas, who teaches with Learn Welsh Pembrokeshire, began learning the language in 2016 after returning to Wales from London. He went on to win Welsh Learner of the Year at the AmGen Eisteddfod in 2021 and now teaches beginner courses locally.

He is joined by fellow tutor Gwilym Morgan, a Cardiff University student who teaches online courses while running his own business.

Their journeys come as new data shows that 20,445 people completed Welsh courses in 2024–2025 — the highest number ever recorded.

Figures released on Monday (Mar 17) by the National Centre for Learning Welsh show a 12% rise on the previous year, and a 61% increase since records began in 2017–2018.

The growth is being driven in part by flexible learning options and targeted programmes, including a major expansion in workplace training.

Nearly four in ten learners (39%) are now learning Welsh through their jobs — a total of 8,370 people — particularly in sectors such as health, social care and education.

Education watchdog Estyn has described the Centre as “one of the cornerstones of linguistic planning initiatives in the workplace.”

There has also been a sharp rise in younger learners. In 2024–2025, 4,110 people aged sixteen to twenty-four took part — a 56% increase on the previous year and a 483% rise since 2018–2019.

Overall, 17,350 learners were aged between sixteen and sixty-four.

Learners are also engaging more deeply, completing 34,960 learning activities over the year — up 12% on 2023–2024.

Dona Lewis, Chief Executive of the National Centre for Learning Welsh, said: “We’re delighted with these latest figures, which show consistent, steady growth in the number of people learning Welsh.

“The figures reflect the Centre’s strategic planning and the way it uses its expertise to reach new audiences — particularly in workplaces — supporting our aim of creating more Welsh speakers.”

Speaking about his own journey, David said learning Welsh had been life-changing.

“As someone who learned Welsh as an adult, I see it as a gateway to the whole culture of Wales,” he said.

“I know what it feels like to be in the classroom, so being able to introduce others to the language — and hopefully give them a positive experience — is really special.”

The National Centre for Learning Welsh leads the adult Welsh learning sector, working with providers across Wales to deliver courses ranging from beginner to advanced level, both in person and online.

PEMBROKE TOWN COUNCIL has appointed Cllr Jonathan Grimes as Mayor Elect for the coming year.

His wife, Cllr Deborah Grimes, will serve as Mayoress, while Cllr Aden Brinn has been elected as Deputy Mayor Elect.

Speaking following his appointment, Cllr Grimes said the role was a great honour.

“Becoming Mayor of Pembroke honestly means so much to me. This town has given me such a strong sense of community, and to be given the chance to serve it in this way is something I will never take for granted.

“While no community is without its challenges, what gives me confidence is the strength and character of our people. Pembroke is home to hardworking, compassionate, and community-minded individuals who care deeply for one another and for the place we are proud to call home.

“There is also much to look forward to, with the ongoing regeneration project and a busy summer ahead. We have energy, ideas, and a real sense of pride in both our history and our future.

“I am excited to get started, working with you all and doing my part to help Pembroke continue moving in the right direction. Thank you for the trust you have placed in me. I am immensely proud to call Pembroke my home, and it is an even greater honour to serve as your Mayor for the year ahead.”