King Says Bank of England Hasn’t Preannounced Increase

Bank of England Governor Mervyn King said policy makers haven’t preannounced an interest-rate increase and may need to keep borrowing costs at a record low to aid a recovery that is “unlikely to be smooth.”

“Some people are running ahead of themselves in saying that we are preannouncing, or we’re laying the ground, for a rate rise,” King told reporters in London today. “That decision has not been taken and it won’t be taken until we get to the next meeting, or the following meeting” and “it may be many quarters before we do anything.”