Woodford: Oil price jump could derail further QE

UK equity income stalwart Neil Woodford has argued further quantitative easing measures in the UK may be stifled by a sharp rise in the oil price.

Bank of England governor Mervyn King has left the door open for further stimulus when the current £50bn QE programme ends in May, which may provide a boost to weak export growth. Invesco Perpetual's head of investment, running the group's £11.5bn High Income and £8.9bn Income funds, said: "The scope for further UK stimulus may be limited by a sharp rise in the oil price, as well as by signs of more buoyant UK consumer demand, which may limit the scope for inflation to fall further from its current 14-month low." At the start of the month, Brent crude soared to a 43-month high to trade...