Bailey Dismisses 'Secret Plan' for Unconditional Rate Hikes

The Bank of England governor Andrew Bailey told lawmakers there's no 'secret plan' to unconditionally increase interest rates.

Bailey said that while there are still upside risks to inflation, with energy prices being a particular concern, the central bank doesn't have a pre-set course for rate hikes. He stressed that market expectations of future rate increases do not guarantee they will happen.

The current interest rate sits at 3.75%, and economists predict at least one increase in the next year due to expected higher inflation. The Bank's monetary policy committee is set to meet again soon to discuss whether to raise, hold, or lower rates.