BoE MPC member Catherine Mann said, “what the research shows is when there is uncertainty about persistence versus transitory nature of inflation dynamics, it’s important to front-load policy.”
Mann also noted the recent depreciation in Sterling is feeding into the high inflation rate. Yet, it’s “not the point” to target exchanged rate. “The point is to have heightened awareness of the role of the currency, particularly in today’s climate of very high inflation rates,” she added.
