Bank of England chief economist Peel: cautious about further rate cuts

Odaily Planet Daily News: The Bank of England's chief economist, Peel, said the Bank of England needs to be cautious in cutting interest rates because the long process of curbing inflation has not yet been completed. The Bank of England cut interest rates a week ago, the third rate cut since raising interest rates to a 14-year high in 2023. Peel said the overall situation is that inflation will fall to the Bank of England's 2% target. However, Peel said that underlying price pressures remain. Although the British economy is growing hard, he still called for caution about further interest rate cuts. He said: "We were able to lift some of the restrictions we imposed before because we succeeded in suppressing inflation, but the task is not yet completed." He said that the Bank of England still has more work to do to reduce inflation, "which means we can't lift all restrictions overnight, cut interest rates sharply, and so on." (Jinshi)