25th February 2011
"Interest rate rise 'overdue', says MPC member Andrew Sentance. A rise in interest rates is long overdue, which could mean the Bank of England is forced into more painful action, one of its policy makers has warned."
checkmate comments: "By the way ,does no one really remember how this situation played out back in the 70's…it's actually as close to a rerun of that as I can remember. Emplotyment prospects were crap ,people were working 3 day weeks. Non discretionary expenditure through energy,food etc was marching up hill at a hell of a rate. What happened , workers striked and wages started moving up quick time and in short order we had double digit interest rates to try to put a clamp on inflation. I can still remember the speed with which all this happened. One moment people were having the same arguments that we're having today and then before we almost knew it inflation was raging all over the place.