Bank of England could cut interest rates ‘if war ends’ Economics The Bank of England could cut interest rates this year if the war in Iran ends and the Strait of Hormuz opens up within weeks, an economist at a City broker has said. Peel Hunt’s chief economist Kallum Pickering’s current assumption is that the Bank makes two interest rate cuts at the end of this [...]
Yen weakens after Takaichi selects dovish candidates for Bank of Japan Politics The yen slipped sharply against the US dollar on Wednesday morning, after Japan’s prime minister Sanae Takaichi picked two ‘dovish’ candidates for roles at the country’s central bank. Takaichi nominated academics Ayano Sato and Toichiro Asada who both favour economic stimulus and lower interest rates, raising questions they could challenge Bank of Japan governor Kazuo [...]
The era of cheap money is coming to an end – markets aren’t ready Opinion The era of historically cheap money is ending, forcing a potentially permanent adjustment to higher equilibrium interest rates that will challenge financial markets and government finances built on past assumptions, says Damian Pudner For almost a decade until the pandemic, financial markets priced money as if it would remain cheap indefinitely. Governments borrowed freely, financial [...]
Trump’s reckless assault on central bank independence January 13, 2026 Donald Trump once said he values loyalty “above everything else…more than brains, more than drive and more than energy.” If you’re wondering how he responds to perceived disloyalty, he’s also previously said “I love getting even with people.” With these two statements in mind, the Trump administration’s dramatic escalation of its war against the Chairman [...]
Andy Haldane: Budget speculation is hitting growth November 17, 2025 Former Bank of England chief economist Andy Haldane has said there is “without a shadow of a doubt” a direct link between feverish Budget speculation and sluggish growth in the UK economy. In an interview on Sky News on Monday morning, the incoming president of the British Chamber of Commerce (BCC) told Sophy Ridge that [...]
The Bank of England must cut rates today November 6, 2025 The Bank should cut rates by 25 basis points today to prevent stagnation becoming entrenched, says Damian Pudner On Thursday, the Bank of England will announce its latest decision on interest rates. Less than three weeks later, on 26 November, the Chancellor will deliver her second tax-raising Budget, despite promising that last year’s would be [...]
Bank of England’s Taylor: High rates could push UK into recession October 14, 2025 The UK risks heading into a recession that will be “difficult to contain” if interest rates are kept on hold into next year, a Bank of England rate-setter has said in a speech that has further exposed widening splits between policymakers over the best path for borrowing costs. In a set of dovish comments made [...]
Andrew Bailey: Regulation is not hampering growth October 3, 2025 Bank of England governor Andrew Bailey has warned of the dangers associated with paring back financial regulation, in a speech in which he also denied that the abundance of red tape foisted on the financial sector after the Great Financial Crash had impeded economic activity. Addressing the Klass Knot Farewell Symposium, Bailey, who was recently [...]
Bank of England’s Mann calls for sustained interest rate hold October 1, 2025 The Bank of England’s Catherine Mann has called for interest rates to be held where they are for longer before making a larger cut to revive the sluggish growth outlook, citing a recent spike in consumer inflation expectations as evidence price rises were embedding into the economy. The external Monetary Policy Committee (MPC) member known [...]
Bank of England’s Breeden says inflation ‘hump’ is transitory September 30, 2025 The Bank of England’s deputy governor has warned keeping interest rates too high could drag inflation below the Bank’s two per cent target in comments that further exposed the divergence that exists among central bank officials over the long-term path of inflation. In a dovish speech delivered at Cardiff Business School, financial stability deputy chief [...]