Evolving UK monetary policy in an evolving world
Published on
17 October 2025
In this speech, Huw addresses three interrelated issues.
First, he reviews the immediate economic outlook and its implications for monetary policy. He concludes that, while further cuts in Bank Rate over the coming year would follow from an evolution of the economic and inflation outlook broadly in line with what the MPC anticipates, it will continue to be important to guard against the risk of cutting rates either too far or too fast. On this basis, a more cautious pace of withdrawing monetary policy restriction than seen over the past year may be appropriate from here forward in order to ensure continuation of the disinflation process back towards the 2% target.
Second, Huw reviews how the framework for monetary policy at the Bank of England is evolving in light of the recent Bernanke review.
And third, he outlines some more concrete ideas about how that framework will evolve in the future.
