King says BoE will look beyond volatility

Bank of England governor Mervyn King Wednesday 17 April sent an open letter the UK chancellor saying the MPC will look beyond short-term volatility in prices to get inflation back on track.

In an open letter to the Chancellor of the Exchequer Gordon Brown, King said: "The Committee will continue to look through the short-term volatility in inflation over the next year or so resulting from fluctuations in domestic energy prices and set Bank rates to keep inflation on track to meet the 2.0 pct t