BoE’s top economist repeats rate cuts call

THE Bank of England’s chief economist Huw Pill has reiterated his stance for interest rates to be reduced at a “more cautious pace” over the coming year, heightening the prospect that the rate could remain at 4% for the foreseeable future.

- MAURCIO ALENCAR

During a speech yesterday, Pill described attempts to reduce inflation throughout the past year as “disappointing” while highlighting how taxation had contributed to rising prices.

Inflation is projected to reach 4% in September, with the Office for National Statistics (ONS) due to release updated figures next week.

Pill, who is broadly regarded as amongst the more hawkish figures on the Monetary Policy Committee (MPC), indicated he anticipated interest rate reductions in the coming year but acknowledged that elevated inflation in recent months had emerged as a “more pressing” concern for policymakers.