Opinion | Interest rates too low for too long, says ex-Bank of England boss Lord Mervyn King

finance
Created 9/29/2024
Updated 9/29/2024

Lord King criticized the Bank of England for keeping interest rates too low for too long, leading to inflation, but acknowledged that rates are now appropriately set at 5%. He anticipates the government will make minor adjustments to fiscal rules in the upcoming Budget to balance public investment and spending limits. King also argued that the national debt should be measured against national income by the end of the current Parliament, rather than a rolling five-year forecast. Additionally, he condemned both the previous and current governments for their stance on national insurance cuts, labeling them as irresponsible.

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