BOE Policy Split Deepens as Three Officials Seek Rate Hike
- Forbes, Saunders, McCafferty seek 25 basis-point increase
- BOE says inflation overshoot may be bigger than anticipated
BOE Holds Steady as Three Officials Vote to Hike Rates
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A split among Bank of England policy makers widened this month as two officials joined Kristin Forbes in her call for a rate increase, warning that inflation could rise more than previously thought.
In the biggest division on interest rates in six years, the Monetary Policy Committee voted by five members to three to maintain the key interest rate at a record-low 0.25 percent. Michael Saunders and Ian McCafferty broke ranks to demand an immediate hike to 0.5 percent.