The Bank of England’s chief economist Huw Pill has said the central bank’s interest rate hikes have started to have an effect on inflation.
Speaking at an online briefing on Friday (4 August), Pill said "monetary tightening […] is working", with headline inflation beginning to drop thanks to lower food and energy prices, according to a report by the Financial Times. Following the BoE's latest interest rate increase on 3 August by 25bps to 5.25%, the chief economist argued tighter monetary policy has started to curb the risks of more persistent inflation becoming embedded in the UK economy. Bank of England hikes rates by 25bps to 5.25% He added higher employment and lower job vacancies will lead to lower wage growth, al...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
