There are three good reasons to expect the Bank of England’s MPC to “wait and see” for at least another month. Nonetheless, there may be one even better reason to pull the trigger now - "credibility". A Reuters poll of sixty-five economists last week found that all sixty-five expect the Bank of England’s Monetary Policy Committee to … Continue reading The Bank is unlikely to raise rates this week, but maybe it should?
Tag: Monetary policy
Will the July inflation data reveal an “Oasis bump”?
There has been some speculation that Wednesday’s UK CPI data for July will include an “Oasis bump”. In fact, the fallout from the reunion gigs is unlikely to have a significant impact on UK-wide inflation, and even less likely to influence UK monetary policy. Nonetheless, this is an interesting angle, so here goes anyway. (I’ve … Continue reading Will the July inflation data reveal an “Oasis bump”?
No, the MPC doesn’t have a time machine…
The larger than anticipated jump in UK inflation in April has prompted many to argue that the Bank of England’s Monetary Policy Committee will now be much slower to cut interest rates. But there is, of course, nothing that the MPC can do now about last month’s CPI. The right question to ask is what … Continue reading No, the MPC doesn’t have a time machine…
The Bank of England shouldn’t be above criticism
If you believe many of the comments in the broadcast media and from the City, Liz Truss is threatening to undermine the independence of the Bank of England and rip up a policy framework that has served us well for decades. One member of the Monetary Policy Committee (MPC), Michael Saunders, has already felt the … Continue reading The Bank of England shouldn’t be above criticism
Plain-speaking Economics 