The Bank of England's Monetary Policy Committee has voted to raise interest rates from 4.25 per cent to 4.5 per cent. This has caused debate among economists, with some arguing that continuing high inflation necessitates a further rates hike, while others point to the reversal of quantitative easing as evidence for a more cautious approach.
To discuss this, IEA Director of Public Policy and Communications Matthew Lesh spoke to IEA Economics Fellow and member of the IEA's Shadow Monetary Policy Committee (SMPC) Julian Jessop.
The SMPC's response to the interest rates rise can be read here:
https://iea.org.uk/media/dont-raise-interest-rates-says-shadow-monetary-policy-committee/
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