Carney Says ‘Not Yet Time’ for Bank of England Rate Increase
- Pound slides to lowest since 2009 after speech in London
- Governor says journey to policy normalization is `still young'
BOE's Carney Dashes Hopes of an Early Rate Boost
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Mark Carney signaled an increase in interest rates is still some way off, using his first speech of the year to highlight global economic risks and persistent factors weighing on inflation.
“Now is not yet the time to raise interest rates,” the BOE governor said in a speech at Queen Mary University of London on Tuesday. “The world is weaker and U.K. growth has slowed. Due to the oil-price collapse, inflation has fallen further and will likely remain very low for longer.”