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21.10.2024

BoE's MPC member Greene: I believe a cautious, gradual approach to monetary easing is appropriate

Bank of England (BoE) Monetary Policy Committee (MPC) member Megan Greene wrote in a column in the Financial Times (FT) that the UK's consumption recovery lags behind other developed economies. 

She outlined the following factors damping British consumption: 1) including precautionary savings due to the cost of living crisis, 2) restrictive monetary policy and 3) interest rate changes impacting household incomes.

Greene also expressed the view that it is possible that consumption in Britain could be stronger or weaker than expected. "Given these risks, I believe a cautious, gradual approach to monetary easing is appropriate," she added.

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