DAVY VIEW

April’s UK consumer price inflation (CPI) is expected to increase well above 3%. Given that economic activity has been stronger than expected and wage growth remains above 5%, above-target inflation could mean that market expectations for two further rate cuts in H2 2025 will be challenging to meet. At home, we expect Ireland’s residential property price inflation will be c.8% in March and employment growth of c.2% in Q1.