The Bank of England's latest decision on interest rates is announced on Thursday. Here's my take. (TL;DR - I predict a 'dovish hold', albeit with a couple of nagging worries.) The markets are almost certainly right to expect 'no change' this week, with the Bank’s key rate left at 4½%. After cutting by ¼% in … Continue reading Bank of England on hold until May
Category: Monetary policy
UK economic and policy outlook
In case of wider interest, here are the slides from a brief presentation I made today. It was mostly gloomy, but did include some reasons for optimism... UK economic and policy outlook (24 February 2025)Download
Schools presentation on fiscal policy
Here the slides from a presentation I gave last week to A-level students of economics at a schools conference in Portsmouth. They include primers on the UK fiscal framework and the bond markets, the importance of confidence and credibility, and a comparison of the fallouts from the fiscal events in September 2022 and October 2024. … Continue reading Schools presentation on fiscal policy
Crashing UK economy needs lower rates
ICYMI, here’s a summary of my comments on X (formerly Twitter) on today’s Bank of England announcement… The Bank of England’s decision to cut interest rates by ¼% to 4½% was welcome but completely overshadowed by a gloomy set of forecasts. The MPC has been forced to act because the UK economy is crashing. The … Continue reading Crashing UK economy needs lower rates
