Inflation is key, says Sentence

Inflation may have fell to 4% last month ‐ still double the government's 2% target ‐ but according to Monetary Policy Committee member, Andrew Sentance, it is still a key point in determining the UK economy. Sentance was giving a speech in Manchester when he told listeners it was likely that inflation would rise further this year.

"We would have a much better chance of anchoring inflation expectations if the MPC was willing to act to steer the economy in the direction of a low inflation trajectory," he claimed.