Institution: AI "Chip Inflation" is Striking the UK Economy
2026-08-16 08:15:55
According to CoinMeta, institutions point out that a shortage of memory chips driven by artificial intelligence, as well as rising energy costs, are impacting the British economy. Next week, consumer prices in the UK will become the focus of media attention, with data expected to be released on Wednesday showing the inflation rate accelerating for the first time in four months. Economists' median forecast is that the inflation rate will soar to 2.9% in July. This marks the beginning of an upward trend that is expected to continue throughout the second half of the year, ending previous positive news regarding price pressures. As the impact of the Iran war on prices becomes increasingly apparent, especially given that the economic performance remains strong, these data may make the Bank of England's interest rate policymakers even more uneasy. The Bank of England has warned that the rapid expansion of artificial intelligence computing power is driving up the cost of memory chips used in smartphones, laptops, and gaming consoles, while data from the British Retail Consortium in July indicates that the increase in chip costs is being passed on to the prices of electronic products.
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Source:Jin10 Data
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