Far too early for rate cuts, says Bank of England governor
Andrew Bailey said “monetary policy is likely to need to be restrictive for quite some time yet”
REUTERS
The governor of the Bank of England has insisted “it is far too early to be thinking about rate cuts” in the latest sign of divergence between the central bank and investors over the expected path for borrowing costs.
In a speech at an event hosted by the National Farmers Union, Andrew Bailey said “it is too soon to declare victory” in the cost of living crisis, adding that the Bank still had “a long way to go” to get inflation back to the 2 per cent target.
Last week, Megan Greene, a member of the Bank’s ratesetting monetary policy committee, insisted that it was not considering interest rate cuts, while Dave Ramsden, another ratesetter, said that borrowing costs would have to stay high for
