Three former members of the Bank of England’s Monetary Policy Committee have warned of the increasing risk that the UK economy will fall into recession as a result of the institution’s efforts to contain inflation.
BoE governor Andrew Bailey has recently spoken of being on a “narrow path” towards achieving price stability by raising rates without generating negative growth.
But Adam Posen, president of the Peterson Institute for International Economics and a former MPC member, told the House of Commons Treasury select committee that this goal would be difficult to achieve.
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