Sentance called for 50 basis point hike

on April 11 2011 5:34 AM

BoE Panel member Andrew Sentance signaled that he called for 50 basis point increase on interest during last week's rate decision that regulators sought to preserve at 0.50 percent along with keeping the APF program unchanged at £200.0 billion.

Sentance said to Sky News in an interview that You can look at what the City is expecting, what the financial markets are expecting, to get a guide adding that Along with the rest of the Monetary Policy Committee, I believe in taking it one month at a time though the yield curve suggests getting up to somewhere round about 2 percent next year.

I have argued in public that half a percent interest rate rise is justified and I still think that that's the case, Sentance said. We need to begin to adjust interest rates in a gradual way, he added. I'm not sure I'm swimming against the tide because the balance of opinion has been shifting in that direction.

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