The Bank of England chief economist Huw Pill one of the Monetary Policy Committee’s (MPC) has said he is “more comfortable” the inflation outlook.
Speaking at an event hosted by the Pictet Research Institute Pill said, “It’s always a question of a balance of risks. And you know, I have been on the side of saying maybe the balance of risks are more on the inflationary side than the disinflationary side.”
“I think, through time, and also as markets reprice, that probably is changing. And personally, I’m more comfortable now than I was six, nine, 12 months ago,” he added.
This comes as headline inflation held steady at 3.8% in August, which is nearly double the Bank’s 2% target.
Earlier this month the BoE held interest rates at 4% and Andrew Bailey said at the time, “We held interest rates at 4% today.
“Although we expect inflation to return to our 2% target, we’re not out of the woods yet so any future cuts will need to be made gradually and carefully.”
