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BOE Newcomer Greene Warns UK Rates May Be Higher Permanently

  • She says AI and green investments may boost growth and rates
  • Greene warns against complacency over return to low inflation
Bloomberg business news
BOE's Bailey Hints Rates Could Stay at Peak Levels
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The Bank of England’s newest policy maker Megan Greene warned that interest rates may settle at higher levels permanently as a wave of green and artificial intelligence investments promises to boost economic growth.

Greene cautioned against complacency in the fight against inflation and questioned claims that the long-run neutral interest rate remains at its pre-pandemic lows despite a painful surge in prices.