Interest rates are on course to rise next Spring and could be raised sooner if there are signs that falling unemployment is causing inflationary pressures, according to a Bank of England policymaker.
Martin Weale, an external member of the Monetary Policy Committee (MPC), suggested the Bank could raise rates before next May’s General Election.
“I think it is very helpful if we try and explain that the most likely path for interest rates is that the first rise will come perhaps in the spring of next year,” he told Sky News. “During an election campaign it would obviously be difficult [to raise rates] but the election campaign will last for three weeks.”
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