The Bank of England’s chief economist, Huw Pill, has suggested that interest rate rises could have further to run in the fight against soaring inflation.
Speaking at an ACCA breakfast event in Cardiff, Mr Pill said with inflation now running at 9%, and forecast to soon hit double-digits, as a rate setting member of the bank’s Monetary Policy Committee he was conscious of its disproportionate impact on the least well off, while describing it as the “biggest challenge the MPC has faced over the past quarter of a century.”
On the current rate of inflation and the bank’s set target of 2%, Welshman Mr Pill said: “For a monetary policy maker charged with achieving an inflation target of 2%, this is obviously a very uncomfortable situation.
