MPC member says investors should prepare for UK rate rise

Laura Dew
clock

Interest rates in the UK could rise as early as August in response to a tightening labour market, according to Monetary Policy Committee member Martin Weale.

Weale (pictured), one of the MPC's most hawkish members who has sat on the committee since 2010, said the Bank needs to respond to rising wages and low unemployment, regardless of low oil prices. He previously voted for a rate rise late last year alongside fellow member Ian McCafferty, but has reversed his stance since then as oil prices fell sharply, which he said gave the MPC "breathing space". Speaking to the Financial Times, Weale said: "If you had asked me last autumn how rapidly I thought wages might pick up, looking at the most recent numbers, the movement seems to have been a ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Economics

Trustpilot