BOE Broadbent: Not Ready To Raise Rates Yet: MNI

LONDON (MNI) – Bank of England Deputy Governor Ben Broadbent said he was not yet ready to support a Bank Rate hike but that there were grounds for the Monetary Policy Committee to tilt move to tightening.

Broadbent’s comments, in an interview with Aberdeen’s Press and Journal newspaper published Wednesday, suggest that while he may well not support a hike in August he does not see the decision as clear cut.

“It is a bit tricky at the moment to make a decision (to hike). I am not ready to do it yet,” Broadbent said.

He said, however, that “There is reason to see the committee moving in that direction – but there are still a lot of imponderables.”

While economic growth over the past year has been OK and inflation has picked up, Broadbent noted that firms were haunted by Brexit uncertainty and it was hard for the MPC to know if there has been any significant improvement in the mood of UK business.

Broadbent has been one of the majority on the MPC opposing tightening with only two members, Ian McCafferty and Michael Saunders, left who backed tightening at the June meeting.

-Broadbent Comments In Aberdeen’s Press and Journal Interview

WEDNESDAY, JULY 12, 2017 – 02:30

–MNI London Bureau; tel: +44 203-586-2223; email: david.robinson@marketnews.com

Source: MNI

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