Bank of England Deputy Governor Clare Lombardelli says she would not rule out voting for another rate hike in December. She adds that she does not yet have enough information to decide.
Lombardelli said she would not rule out voting for a rate hike in December, but she did not have enough information yet, in an interview with the Guardian published on Tuesday.
Last week she voted with the 8-1 majority to raise rates to 4% from 3.75%, the first rise since August 2023. According to the minutes of the meeting, she said at the time that a further hike was likely to be needed in the near term.
Her decision on December, however, depends on incoming evidence. She told the Guardian it depends on the conflict and energy prices and on the wider data. According to Lombardelli, quoted by the Guardian: "But I wouldn’t rule it out. Equally, I don’t have enough information just yet."
Lombardelli also described what she called a low-gear economy. She said young people in Britain are bearing the brunt as employers hold back from hiring amid the fallout from the war in the Middle East. She described a labour market with a fall-off in hiring but not much in the way of redundancies.
Separately, Britain's jobs market cooled in October, with hiring for permanent roles falling for the first time in four months, according to a survey by the Recruitment and Employment Confederation and KPMG published on Monday.
Source: Investing.com
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