BOE’s Top Economist Acknowledges Inflation Fight Will Slow Growth
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Bank of England Chief Economist Huw Pill acknowledged that hiking interest rates to fight inflation will slow growth but argued that it’s necessary to stabilize the economy over the long term.
“It’s very important that we use monetary policy to prevent that high level of inflation from getting ingrained,” Pill said in a web Q&A with members of the public Wednesday. “In the short term higher interest rates means higher mortgage payments. It probably also means some slowing in the economy.”