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- BoE's MPC member Michael Saunders: It is unlikely that data until June meeting would negate case for further stimulus
BoE's MPC member Michael Saunders: It is unlikely that data until June meeting would negate case for further stimulus
- It is safer to err on the side of easing too much
- And then tightening later if needed
- Risks to economy are to the downside
- But with limited policy space, there is less scope to get the economy back on track
- Some recovery in economic activity is likely as lockdown eases
- A relatively slow recovery would be costly
- Sees risks of UK falling into slip into lowflation trap that is much harder to escape
- The risks of a pickup in inflation are pretty negligible
- Picture of a dramatic fall in output is clear-cut
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