Sentance attacks Bank
OUTGOING Monetary Policy Committee (MPC) member Andrew Sentance used his last day in office to launch a stinging attack on the Bank of England.
Sentance, whose five-year term ended yesterday, said the Bank of England was in danger of losing its credibility. “I think that there is a big risk now emerging to credibility of the Bank,” he said in an interview with Sky News.
“If inflation does not come down in the way that the Bank is suggesting – and I think there is a big risk that is the case – than that is going to have a big knock on effect on the credibility of the bank’s commitment to its inflation target,” he added.
Sentance, who has consistently voted for a rise in interest rates over the past 12 months in a bid to tackle the rising rate of inflation, accused his fellow MPC members of “not responding at all” to above-target inflation.