The Bank Of England’s Fatal Conceit

Source: Cobden Centre
by Damien Phillips

“It’s not been a great week for the Bank of England. The Bank’s announcements that interest rates would be raised to 1.25 per cent (their highest level in 13 years), that they believe inflation will exceed 11 per cent this autumn (already at a 40-year high of 9 per cent), and that UK GDP would contract by 0.3 per cent this quarter, went down like a lead balloon. Criticism of the beleaguered bank has been building for several months now and its latest policy moves and forecasts prompted a fresh round of facepalming from commentators. The Bank has moved seamlessly from one PR and policy disaster to another.” (06/20/22)