Pursuits
King Predicts ‘Elevated’ U.K. Inflation After Rate Breaches 3%
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Bank of England Governor Mervyn King said inflation will remain “elevated” throughout 2011 after it unexpectedly accelerated in October, forcing him to write the fourth letter of explanation to the Treasury this year.
“The committee is ready to adjust policy -- in either direction -- in order to ensure that the risks to the outlook for inflation in the medium term remain evenly balanced around the 2 percent target,” King said in a letter to Chancellor of the Exchequer George Osborne released by the central bank today.