Central Banks
UK Interest Rate Should Peak Below 4.5% to Avoid Deeper Recession: BOE Official
- BOE policymaker Swati Dhingra speaks with Observer newspaper
- Brexit also contributing to soaring UK food prices, she says
A commuter passes the Bank of England in the City of London, UK.
Photographer: Jason Alden/BloombergThis article is for subscribers only.
The Bank of England’s benchmark interest rate should peak below 4.5% if the central bank wants to avoid deepening and prolonging a recession, Swati Dhingra, the newest member of the bank’s monetary policy committee, said in an interview with the Observer newspaper.
“The market is probably underestimating what damage that (level of interest rates) might cause to the UK economy,” she said.