Skip to content
Subscriber Only

Carney Says Forces Holding Down BOE Interest Rate to Persist

Bank of England Governor Mark Carney said impediments to the economic recovery that are keeping U.K. interest rates at a record low will persist and borrowing costs won’t rise until the labor-market slack is reduced.

“There are some very big forces that are operating now and will persist,” Carney said in a BBC television interview broadcast yesterday. He cited economic weakness in Europe, repair of public balance sheets and improvements to the financial system. “All of those forces conspire collectively to keep that level of interest rates down.”