Bailey speech: Monetary policy can do little to affect inflation in near term

Following the Bank of England's (BoE) decision to leave the policy rate and the Asset Purchase Facility unchanged at 0.1% and £895 billion, respectively, BoE Governor Andrew Bailey is delivering his remarks on the policy outlook.

Key quotes

"UK and global economy continue to face challenges as we recover from pandemic."

"Rise in unemployment after furlough is only expected to be small."

"Monetary policy can do little to affect inflation in the near term."

"Inflation expectations for 2-3 years out have risen less than short-term measures."

"MPC judge medium-term inflation expectations still well anchored, will monitor closely."

About Andrew Bailey (via bankofengland.co.uk)

"Andrew Bailey previously held the role of Deputy Governor, Prudential Regulation and CEO of the PRA from 1 April 2013. While retaining his role as Executive Director of the Bank, Andrew joined the Financial Services Authority in April 2011 as Deputy Head of the Prudential Business Unit and Director of UK Banks and Building Societies. In July 2012, Andrew became Managing Director of the Prudential Business Unit, with responsibility for the prudential supervision of banks, investment banks and insurance companies. Andrew was appointed as a voting member of the interim Financial Policy Committee at its June 2012 meeting."