The Bank of England’s Monetary Policy Committee has decided that continued inaction this month in the face of soaring inflation would do far more damage in the longer term than a small increase in UK interest rates now. The Bank has also ended the expansionary phase of ‘quantitative easing’. The MPC voted to maintain the … Continue reading Bank of England gets it right
Tag: MPC
Bank of England needs to act now to tame the inflation tiger
It’s not often I agree with the International Monetary Fund (IMF), but their latest warnings on the risks of inaction from the Bank of England could not have been more timely. The jump in consumer price inflation to 5.1 per cent in November has already taken it well above the figure of 4.5 per cent … Continue reading Bank of England needs to act now to tame the inflation tiger
Bank of England needs to act now to curb inflation risks
The Bank of England may finally be ready to take the foot off the accelerator – at last. The latest economic data already seem to have persuaded some members of the Monetary Policy Committee (MPC) that the time to scale back the emergency stimulus is fast approaching. I think this should start at the August … Continue reading Bank of England needs to act now to curb inflation risks
It’s time to pause QE
Consumers, businesses, and investors are increasingly optimistic about the prospects for the UK economy, and independent forecasts are continually being revised up. Policymakers at the Treasury and Bank of England should now be reassessing their plans too. The consensus at the start of the year was that UK GDP would grow by around 4% in … Continue reading It’s time to pause QE
Plain-speaking Economics 