Central Banks
BOE Should Rethink Route to 2% Inflation, NatWest’s Davies Says
- NatWest chair says speedy return to 2% would be ‘unpleasant’
- Central bank forsees a drop toward 2% by the end of 2023
Traffic streams past the Bank of England in London.
Photographer: Jason Alden/Bloomberg
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The Bank of England risks “unpleasant” results if it tries to bring inflation down to its target of 2% too quickly, NatWest Group Plc’s chairman has warned.
Howard Davies told Bloomberg Television on Monday that he expected inflation to prove persistent and said he would prefer rate setters to aim for 3% or 4% next year.