UK inflation bounced in December 2016, reaching 1.6% up from 1.2% in November. The figure is above expectations although analysts expect higher inflation in 2017 as the fall in the Pound impacts imports with rises being passed to consumers. Some analysts think 3% is possible, especially if oil prices edge up over the coming months. The news may worry the Bank of England, governor Mark Carney noted that the UK’s economic recovery increasingly relied on consumers making price rises a potential torpedo to the economy. Read more here.