The Bank of England announced that its survey of the public's inflation expectations, which it commissions, showed a sharp drop in August figures after it changed its survey provider. The August data, commissioned from Savanta, showed one-year-ahead inflation expectations at 3.2%, two-year-ahead at 2.9%, and five-year-ahead at 3.2%. The May data surveyed by Ipsos were 4.0%, 3.5%, and 3.9% respectively. However, the Bank of England revealed that it had also commissioned Savanta to conduct the May survey, and compared with the Ipsos survey, the results for the same period were about 0.5 percentage points lower at 3.6%, 3.1%, and 3.3%. The Bank of England said, "When comparing changes between May and August, the impact of the change in survey company is also reflected, so it should be treated with caution." The Bank of England said it selected Savanta as its provider through a competitive tender.
Ipsos SAIpsos lost the Bank of England inflation-expectations survey contract to Savanta via competitive tender, and its May figures were replaced by Savanta's lower readings.
Savanta won the Bank of England's competitive tender to conduct the inflation-expectations survey, displacing Ipsos as provider.
