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Mervyn's smile

When the Bank of England's top brass was hauled in front of the Treasury Select Committee to explain their August Inflation Report, Mervyn King, the Bank's new governor, stole the show - although the committee did probe the voting habits of some of the…

Mervyn picks executive team

Mervyn King has completed the reshuffle of his executive team at the Bank of England. Andrew Bailey and Nigel Jenkinson are promoted, Merlyn Lowther retires and Alastair Clark is switched to become special adviser to the governor.

Mervyn King testifies to UK Treasury committee

Bank of England governor Mervyn King made a statement to the UK Treasury Select Committee, in which he discusses the outlook for the economy as well as the changeover of the BOE inflation index from RPIX to HICP: "the change in the target will need to be…

King signals Basel accord delay

Mervyn King, governor of the Bank of England, on Thursday told the UK Treasury Select Committee that the introduction of the new Basel capital accord "may take more time than had originally been hoped". He said that the Basel committee was a "long way…

King posits new Stability and Growth Pact

Bank of England governor Mervyn King showed himself to be at odds with his ECB counterparts by suggesting to the UK Treasury Select Committee on Thursday that Europe's current rules to keep member states' fiscal policies in check are not sustainable.

MPC minutes point to UK interest rates rise

Bank of England minutes released September 17 show that for a majority on the MPC, it was a "clear-cut" decision to leave rates unchanged in September. The decision to hold the Bank's main interest rate at 3.5 per cent was decisive, but for some members…

What's goin' on?

Bank of England MPC member Stephen Nickell has just accomplished the rather unenviable task of explaining what the switch from an inflation target based on the RPIX index to the HICP index, as used in Europe, actually means. Inflation indexes: who cares?…

Nickell on Two Current Monetary Policy Issues

In a speech on 'Two Current Monetary Policy Issues' given on 16 September Stephen Nickell of the Bank of England said in the long run, thanks to differences in computational methods and the absence of the housing depreciation and council tax elements,…

Why inflation targeting is an inexact science

An article in the Independent says that in the past stronger-than-expected growth might have been a good reason to raise interest rates but if, today, stronger than expected growth results from the same process as lower-than-expected inflation, all our…

BoE Nickell: HICP will not affect monetary policy

Speaking on September 16 Bank of England Monetary Policy Committee member Stephen Nickell said, according to AFX UK, that the move to the HICP measure of inflation later this year would have little noticeable difference in the short run and in the long…

Bank of England Inflation Attitudes Survey, Aug 03

The Bank of England's August 2003 quarterly Inflation Attitudes Survey was published on 15 September. Median expectations of inflation over the coming year were 2.2%, up from 2.0% in May. Respondents were asked to assess the way the Bank of England is …

...and Howard's end

Sir Howard Davies, who leaves the UK's Financial Services Authority at the end of this week to take up the job of head of the London School of Economics, sensibly ducks questions about whether he wanted to be governor of the Bank of England.

BOE's tail between legs over IT fiasco

The Bank of England has approached its various account holders - including foreign central banks - with its tail between its legs after unforeseen problems arose in its payment system, according to the Financial Times. "It is now clear that the new…

UK MPC unanimous on August rate hold

All nine members of the Bank of England's monetary policy committee voted to leave interest rates on hold at 3.5%earlier this month, minutes of their meeting showed on Wednesday, reports the Financial Times. The quarter point cut in July had been…

Cricketing King's unlikely heroes

When Mervyn King was the guest of honour last week at the lunch-time chat on BBC Radio 4's cricket programme "Test Match Special", he revealed his affection for - and knowledge of - the game as well as a certain ambition for socialite status. The…

Bank of England Inflation Report, August 2003

The Bank of England published its quarterly Inflation Report for August 2003 on Wednesday 13 August. In the report the Bank said "The recovery in the world economy has been slow and uneven," and "Inflation is projected to run somewhat below target…

Bank of England cuts inflation forecast

The Bank of England's inflation report published on Wednesday 13 August showed that the Bank expects inflation to dip below the 2.5 percent target for most of 2004, after reaching 3 percent in April, Bloomberg reports.

UK Treasury reviews cash ratio deposit scheme

Conclusions and recommendations of a UK Government review of the cash ratio deposit scheme for financial institutions. The key conclusions of the review are: The cash ratio deposit scheme continues to be a suitable method of funding Bank of England…

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