LONDON (MNI) – Consumer inflation in the U.K. is likely to edge
lower over coming months, Bank of England Deputy Governor Charles Bean
said Tuesday.
Speaking to Yorkshire-based website TheBusinessDesk.com, Bean said
he was not surprised by the higher than forecast official inflation
numbers released yesterday.
“The number was not significantly higher than we were expecting.
It’s true that some of the city commentators had a rather lower
expectation but it may be they hadn’t looked sufficiently closely at
what was happening to the various components,” he said.
But Bean still saw an outlook for lower inflation ahead, adding: “I
don’t think that number is likely to change the big picture which is
that inflation is likely to continue edge down during the second half of
this year and into next year.”
Bean also accepted that growth had been weaker than the Bank of
England had expected, but said the policy of quantitative easing was
gaining traction.
–London newsroom 0044 20 7862 7495; email: ukeditorial@marketnews.com
[TOPICS: MT$$$$,M$$BE$]