BoE Officials Diverge on Economic Impact of High Oil Prices

BoE officials have been sharing their views on the current economic situation. According to BoE's Greene, one of her concerns is the prolonged high oil prices, which could lead to second-round effects. This concern was shared by Governor Bailey, who stated that high energy prices are still a possibility due to the US-Iran conflict.

However, not all officials share this view. BoE's Ramsden expressed a more optimistic outlook, stating that the UK's domestic inflation position is 'relatively benign' and that he gets reassurance on inflation from the labour market. He also mentioned that UK wages have come in below expectations before the conflict.