Monetary Policy Remains Restrictive at 4.25%

Bank of England's Deputy Governor for Monetary Policy, Clare Lombardelli, emphasized on Monday that the current headline interest rate of 4.25% continues to be restrictive. This stance is aimed at managing inflation effectively, even in scenarios of unexpected persistence.

Caution Advised Amid Economic Uncertainties

Speaking at the BoE Watchers Conference in London, Lombardelli stressed the importance of caution. She expressed the need for a material deceleration in the data over a longer period to ensure economic stability. Additionally, she pointed out that wage growth remains too high for the inflation target to be met comfortably.