How does the Bank of England’s 2020 expansion of Quantitative Easing differ from earlier phases?
On Tuesday 2 March, the Economic Affairs Committee holds its fourth set of evidence sessions on its Quantitative Easing (QE) inquiry. In the first panel, the Committee will hear from specialists on the macro-economic framework of QE, the Bank of England’s QE programme and the effects and future of QE. In the second panel, Alistair Darling, former Chancellor of the Exchequer between 2007-2010, will give the Committee his perspective on QE.
- Are monetary policy decisions in danger of being directed by the needs of the Treasury?
- In what ways does the Bank of England’s 2020 Quantitative Easing (QE) expansion differ from earlier phases?
- In what ways does the Bank of England’s QE programme differ from QE implemented by other central banks?
- What are the likely consequences, intended or otherwise, of loose monetary policy coinciding with large-scale fiscal stimulus?
- Why was QE seen as the best bet for staving off financial collapse in 2009?
- Did the Government ever expect QE to stimulate employment and growth, or was it primarily seen to be a temporary measure aimed at financial stability?
- Do accusations that the Bank is practicing deficit financing risk discrediting QE?
- Has the expansion of QE during the pandemic brought into question the principle of operational independence that the New Labour Government introduced in 1998?
- Is the Bank sufficiently accountable for its QE programme?
- What course of action should the Bank take going forwards with its QE programme?