BoE’s Vlieghe: Incoming data warrants removal of monetary stimulus

The BoE MPC external member Gertjan Vlieghe, during a scheduled speech at the Birmingham Chamber of Commerce, said:

   •  Data has shifted further in direction that warrants removal of monetary stimulus since November
   •  Central outlook consistent with one-two 25bps hikes per year over forecast period
   •  Rates need to rise over forecast period if current balance of global economic tailwinds vs Brexit headwinds persists
   •  Significant uncertainty about rate path; lower & higher paths are possible depending on economy