Its the Bank, natch
The fight to blame anything but Brexit for everything that is wrong with the UK is a never ending one. Now, we are to believe, that the Bank of England is such a disaster that it is responsible for high inflation, and the economic downturn that we are suffering from. The list of ERG politicians lining up to blame the Old Lady of Threadneedle Street is very long.
How it acted differently from other Central Banks is not very clear, what is wrong with its analysis is not very clear, what it should have done except put up interest rates earlier is not clear.
Now, it may well be true that the Bank has been too slow, kept interest rates too low, and printed money for too long. But the obvious reason why the UK is suffering more, is Brexit. It is not the whole reason but the ability of the economy to grow without inflation is now very limited.
Lost markets, lost investment, lost immigrants, lost competition; added costs, added red tape and added friction. The Bank did not cause any of this.
Maybe the Brexit supporters want to blame the Bank of England because it has had the temerity to point out these obvious facts and warn that Brexit made inflation more difficult to control.
The Bank is far from perfect but putting this cabinet in charge of interest rates or undermining the Bank of England’s independence, would be a disaster.
Spook the markets, why don’t you? You know that always ends well, just ask Liz Truss.
Economics, trade and Brexit, not necessarily in that order but the dog always comes first.
By Jonty Bloom Media