BoE Watch Rate hikes still a distant prospect With inflation falling faster and slack in the labour market being used up more slowly than the MPC expected in February’s Inflation Report, the decision to leave Bank Rate on hold at this month’s... 4th April 2014 · 1 min read
BoE Watch Five years of 0.5% rates, at least one more to go March’s Monetary Policy Committee (MPC) meeting will mark the fifth anniversary of interest rates falling to their record low of 0.5% in 2009. Since the MPC only set out its new guidance last month... 4th March 2014 · 1 min read
BoE Watch RIP forward guidance? With the unemployment rate likely to fall below 7% soon, February’s MPC meeting will set the scene for the demise of forward guidance, at least in its current form. Comments by MPC members suggest... 3rd February 2014 · 1 min read
BoE Watch Forward guidance set to evolve With the unemployment rate falling rapidly, the MPC has continued to stress that the reaching of the 7% threshold will not automatically trigger a rise in interest rates. Indeed, there have been hints... 6th January 2014 · 1 min read
BoE Watch Rates on hold for a long time yet With November’s Inflation Report indicating favourable prospects for growth and inflation, there is little reason for the MPC to change course on policy. And while unemployment may be falling more... 2nd December 2013 · 1 min read
BoE Watch No change in policy ahead of Inflation Report With GDP growth in Q3 coming in slightly above the MPC's forecast and unemployment falling more rapidly than expected, when the Committee might reconsider the stance of monetary policy has continued... 4th November 2013 · 1 min read
BoE Watch A quiet meeting in prospect Following a disappointing initial reaction to forward guidance, there could have been a case for the MPC to do more to support the recovery. But with expectations for the date of a rate rise having... 8th October 2013 · 1 min read
BoE Watch Split vote on QE to re-emerge The long-awaited introduction of forward guidance has probably not had quite the impact the MPC was hoping for. We think that some members will vote to resume quantitative easing (QE) this month... 2nd September 2013 · 1 min read
BoE Watch MPC to introduce stronger forward guidance The main event this month is likely to be the announcement of formal forward guidance. We expect the Monetary Policy Committee (MPC) to commit to keep official interest rates low until an unemployment... 29th July 2013 · 1 min read
BoE Watch New Governor to hit the ground running Despite the recent improvement in the economic data, there is still a strong case for the new Governor Mark Carney to give the economy additional support in order to boost the chances of the recovery... 1st July 2013 · 1 min read
BoE Watch MPC likely to remain in limbo June looks like being another month of no change for the Monetary Policy Committee. Although inflationary pressures have eased recently, the role of temporary factors means the Committee is likely to... 3rd June 2013 · 1 min read
BoE Watch King unlikely to get his way before he leaves Mervyn King looks unlikely to get his wish for more asset purchases fulfilled before he leaves at the end of June. Hopes therefore rest on Mr Carney spurring the Committee into action when he arrives... 7th May 2013 · 1 min read
BoE Watch More QE unlikely this month, despite remit change The minutes of March’s Monetary Policy Committee meeting suggested that those against doing more QE will not have their minds changed easily. And the remit change in the Budget ended up being fairly... 28th March 2013 · 1 min read
BoE Watch MPC close to doing more There is a reasonable chance that quantitative easing (QE) is resumed at this month’s Monetary Policy Committee (MPC) meeting. The Committee is taking a more flexible approach to the inflation target... 4th March 2013 · 1 min read
BoE Watch GDP drop may not push MPC into action Although a strong case could be made for resuming quantitative easing (QE) at this month’s Monetary Policy Committee (MPC) meeting, the Committee has given no indication that it is on the cusp of... 4th February 2013 · 1 min read
BoE Watch More QE likely this year, albeit not immediately The renewed pick-up in inflation and the tentative success of the Funding for Lending Scheme (FLS) mean that more quantitative easing (QE) does not look imminent. But if the economic stagnation... 7th January 2013 · 1 min read
