Cameron warns over inflationary dangers ahead of Bank rates decision

first_img by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastSerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesBrake For ItThe Most Worthless Cars Ever MadeBrake For ItBetterBe20 Stunning Female AthletesBetterBeAlphaCute30 Rules That All “Hells Angels” Have To FollowAlphaCuteDefinitionDesi Arnaz Kept This Hidden Throughout The Filming of ‘I Love Lucy’Definitionthedelite.comNetflix Cancellations And Renewals: The Full List For 2021thedelite.comZen HeraldNASA’s Voyager 2 Has Entered Deep Space – And It Brought Scientists To Their KneesZen Herald Show Comments ▼ Share whatsapp UNEXPECTEDLY high inflation could exacerbate splits in the Bank of England’s rate setting committee, which meets this week.Prime Minister David Cameron yesterday expressed concern about the UK’s inflation, which is consistently above target.“Inflation is extremely harmful. It destroys people’s savings,” he said. “We don’t want to go back to having an inflation problem as we had in the past.”Yet the Prime Minister gave his backing to the “excellent” Bank governor Mervyn King.The Bank’s monetary policy committee (MPC) faces a three-way split. While Andrew Sentance is likely to keep proposing a small rise in interest rates, “dovish” American Adam Posen is expected to continue suggesting a further programme of quantitative easing (QE2). The rest of the committee has stayed on the fence in recent months, yet increasing differences among economists may be reflected in larger factions emerging within the MPC.Consumer price index (CPI) inflation will hit four per cent in the next three months, according to ING forecasts. Producer price data, released this Friday, is expected to show further price increases.Yet a weak labour market will keep inflation down, said business advisory group BDO today.Nonetheless, business morale rose above expectations, according to BDO’s business trends report. Read This Next’A Quiet Place Part II’ Sets Pandemic Record in Debut WeekendFamily ProofHiking Gadgets: Amazon Deals Perfect For Your Next AdventureFamily ProofYoga for Beginners: 3 Different Types of Yoga You Should TryFamily ProofIndian Spiced Vegetable Nuggets: Recipes Worth CookingFamily ProofAmazon roars for MGM’s lion, paying $8.45 billion for studio behind JamesFamily ProofThe Truth About Bottled Water – Get the Facts on Drinking Bottled WaterGayotBack on the Rails for Summer New York to New Orleans, Savannah and MiamiFamily ProofChicken Bao: Delicious Recipes Worth CookingFamily ProofCheese Crostini: Delicious Recipes Worth CookingFamily Proof Tags: NULLcenter_img whatsapp KCS-content Sunday 9 January 2011 10:37 pm Cameron warns over inflationary dangers ahead of Bank rates decision last_img