Britain in his debt

25th June 2007
By Peter Spencer

Who would have thought that the 10th anniversary of the Bank of England’s Monetary Policy Committee would be marked by an overshoot of the CPI inflation rate? Many commentators are claiming the credibility of Gordon Brown’s creature has been seriously undermined and that now we are all in for a rough ride. Can this be right?

I don’t think so. The Bank of England’s Monetary Policy Committee saw the inflation problem coming and started to raise interest rates …