The Governor of the Bank of England, Andrew Bailey, Chief Economist Huw Pill, and members of the Monetary Policy Committee (MPC) will respond to questions from the Treasury Committee on this month’s interest rate rise at 10.15am on Tuesday 23 May.
Earlier this month, the base rate was increase to 4.5 per cent. In the session, the cross-party Committee of MPs will examine the outlook for inflation, whether interest rates have reached their peak, the Bank’s forecasts and the current economic outlook.
In its Monetary Policy Report, the Bank noted the pass-through of interest rate rises to instant access savings accounts has been “unusually weak”. The Committee may explore the underlying reasons for the “weak” pass-through, its impact on the monetary policy transmission mechanism and whether the “pass through” is likely to strengthen in the future, leading to higher rates for savers.