MPC's Sentance keeps up pressure to raise interest rates

Andrew Sentance voted against the rest of the Monetary Policy Committee (MPC) for a rise in interest rates for the third consecutive month, minutes from the August meeting show.

Sentance wants an immediate 0.25% rise in benchmark UK interest rates from 0.5% to 0.75%. He also proposed withdrawing some of the Bank's stimulus, as the economy begins to show signs of recovery. "For one member, the balance of risks was such that it was appropriate to start to withdraw some of the exceptional monetary stimulus provided by easing the policy in late 2008 and 2009," the minutes state. "Economic conditions had improved over the past 12 months and the inflation outlook had shifted sufficiently to justify beginning to raise rates gradually." Sentance also pointed to other...