In line with expectations
- BOE: Some “differences of view” within the MPC about the likelihood of whether further loosening of monetary policy would be needed and questions about it’s effectiveness
- Pick up in activity seen later than in the August inflation report, inflation may pick up later this year, likely to remain above 2% in the near term
- Commodity price increases to boost short term CPIu
- Little news over the past month to change the balance of medium term growth and inflation risks
- Sees limits to what monetary policy can achieve
- Funding for lending offers ‘encouraging’ signs for mortgages, may take longer to help business though
