CBI economist joins MPC

CBI economist Ian McCafferty has become an external member of the Bank of England's Monetary Policy Committee (MPC).

He will succeed Adam Posen on the committee from the beginning of September, the Treasury said. Posen was among the committee members calling for an expansion of the Bank's quantitative easing programme to try to stimulate the economy. The CBI said McCafferty's his private sector experience would be vital for the MPC, the BBC reports. Posen said earlier this year he would not be seeking another three-year term, instead taking up a directorship of economics thinktank the Peterson Institute.