Is she trying to imply that at current levels, the bank rate is at sufficiently restrictive territory to cause a massive drag on the economy? Mind you, Tenreyro voted for a 25 bps rate hike in November when the BOE did 75 bps and then voted to keep the bank rate unchanged in December and last week.

Update: She is even throwing in talk of a rate cut now, saying that she would consider such a move at this present time but can't say at which meeting that she would vote for such an option.