Remarks by BOE policymaker, Jon Cunliffe

  • Need to understand context for high inflation as economy reopens
  • Key question is whether demand surge and supply chain problems are persistent
  • Expect some 'transitive' pressures on prices
  • Will try to get better read of supply, demand for August forecasts
  • Will reassess inflation rate in August
  • Need to see if it is something we would need to act against

Cunliffe reacts to the UK inflation report earlier, which showed a jump in price pressures once again - keeping the BOE on their toes for the time being.

At least he is laying down a timeline to which they will formally formulate a response and that will come in the August meeting, so that will be a key one to watch next month.