The Bank of England is not expected to move this week as its Monetary Policy Committee meets to decide on rates.
Currently at a record low of 0.5%, those with vested interests will be watching out for news of its quantitative easing program. The bank has already stepped up purchases to the tune of £125 billion ($200 billion).
And talk of an exit strategy is pervasive in the markets.
“I'd liken this to Godzilla vs. King Kong where you have the Godzilla of the monetary authority spraying the landscape with liquidity and the King Kong of deflation," Niall Ferguson, professor of history at Harvard, told CNBC. "King Kong has the upper hand. We are in a deflationary global economy for the rest of this year and the numbers will bear that out."
But former MPC member Willem Buiter said he believes that inflation is a very clear and present danger.