Shares in major housebuilders leapt as much as six per cent this morning in early trading as the release of better than expected inflation data prompted speculation over tomorrow’s crucial Bank of England rate-setting meeting.

In the wake of the latest inflation data which showed an unexpected fall in August price growth to 6.7%, speculation has increased that the Bank of England could pause its previously widely expected move to increase the base rate to 5.5% when its Monetary Polic Committee meets tomorrow.

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