The latest surge in gilt yields - which represents the cost of new borrowing by the UK government in the bond market - is yet another shock that the already fragile economy could do without. To be fair, this crisis is not entirely the making of Rachel Reeves and her October Budget. Bond yields have … Continue reading What to make of soaring bond yields
Tag: QT
The Treasury should look again at a simple option to save on debt interest
The latest monthly data on the UK’s public finances included the first of many payments from the Treasury to cover losses made by the Bank of England’s Asset Purchase Facility (APF). This may seem like an arcane subject, but the sums are huge and at least partly avoidable, so bear with me. First, the technical … Continue reading The Treasury should look again at a simple option to save on debt interest
Podcast on UK inflation and monetary policy
I recorded a podcast for the Institute of Economic Affairs (IEA) on Friday 6th May on UK inflation, definitions of 'recession' and 'stagflation', and what more the Bank of England could (and should) have done. You can listen here... https://ieapodcast.podbean.com/e/interest-rates-how-to-control-inflation/
Plain-speaking Economics 