Slash interest rates and stop bond sales, ex-policymaker tells Bank of England

David Blanchflower, together with fellow economist Richard Murphy, also urged the Bank to reverse its quantitative tightening policy. Photograph: John Walton/PA

The Bank of England should slash interest rates and stop selling government bonds in the wake of the turmoil in the banking sector, a former Threadneedle Street policymaker has said.

David Blanchflower, a member of the Bank’s monetary policy committee during the global financial crisis of 2008, said official borrowing costs should be cut from 4% to 3% at this week’s meeting.