Britons ‘need to accept’ they’re poorer, says Bank of England economist

Huw Pill says a game of ‘pass the parcel’ is going on as households and companies try to pass on their higher costs. Photograph: Neil Hall/EPA

British households and businesses “need to accept” they are poorer and stop seeking pay increases and pushing prices higher, the Bank of England’s chief economist, Huw Pill, has said.

Pill said a game of “pass the parcel” is taking place in the economy – as households and companies try to pass on their higher costs.