Bank of England rate-setter Swati Dhingra said in an interview published on Saturday that higher interest rates could lead to a deeper and longer recession, adding there were few signs that demands for higher wages risked a wage-price spiral.
While most of her colleagues backed a 75 basis-point hike to 3% last month, Dhingra voted for a half-percentage-point increase in interest rates last month, and later told lawmakers the central bank could deepen an expected recession if it pushed up borrowing costs further.
In the interview, she also said there were few signs in the labour market that workers' demands for pay increases would lead to persistently high inflation, which has reached a 41 year high of 11.1%. "A wage-price spiral would mean wages should be above inflation," Dhingra told the paper. "Given that real wages are falling, that’s indicative that we’re not there at a wage-price-spiral point yet."
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Businessmen of the Year: The founders of Scottsdale Community bank, Gainey Business Bank and Integro Bank - Phoenix Business JournalConsidering Arizona had not seen a new community bank get off the ground in the past 14 years, having one new fledgling bank open its doors this year would have been a big accomplishment. Instead, Arizona is the only U.S. state to see three new banks open this year. Their founders are our choice as the 2022 Businessmen of the Year.
Read more »
England Seeks Win Over Senegal in 2022 World Cup Round of 16: Here’s How to WatchHere’s how to catch England and Senegal in their 2022 FIFA World Cup round of 16 matchup on Sunday.
Read more »
England amass 657 all out in Rawalpindi test v PakistanA dominant England racked up a mammoth first innings total of 657 all out on day two of the opening test against Pakistan in Rawalpindi on Friday.
Read more »
England vs. Senegal prediction: Underdog the pick in World Cup Round of 16Here’s how we’re betting England vs. Senegal during the World Cup on Sunday.
Read more »
Mac Jones appeared to yell 'throw the (expletive) ball' on New England Patriots sideline during TNFNew England Patriots quarterback Mac Jones did not have a good night during a lopsided loss to the Buffalo Bills.
Read more »
San Diego Blood Bank Adds 2 New Mobile Units to Its Fleet“Many kids are busy wishing for things like an Xbox, Legos, RC cars and stuff like that. Kids like me have a different wish list; although we still like the fun stuff,” said Mason Harvey, a 13-year-old with Crohn’s disease.
Read more »