Bank of England governor rejects criticism on inflation

By DANICA KIRKA
Associated Press

LONDON (AP) — Bank of England Gov. Andrew Bailey has rejected criticism that the institution didn’t move quickly enough to quash inflationary pressures. He told a parliamentary committee on Monday that monetary policymakers weren’t able to predict wars. Bailey has come under sharp criticism in recent months as the annual inflation rate soared to 7%, the highest in more than 30 years. But Bailey said it was only in hindsight that the unprecedented sequence of shocks to the economy — including Russia’s invasion of Ukraine and the lingering COVID-19 pandemic — could have been managed differently. The central bank finally raised its key interest rate in December. After four consecutive increases, the rate now stands at 1%.