If higher borrowing costs are neither immediately necessary nor likely to bring inflation down, we should consider the effects they might produce: most notably a further decline in consumer confidence, with all the dangers that poses. Mr Dale [Bank of England economist] himself concedes he is worried about the strength of the recovery. Why risk weakening it further unless we really have to?I am fed up getting sweeties in terms of interest on my, erm, hard- earned savings. And low interest rates do nothing to encourage the pound sterling to stay at reasonable levels. (Last night the pound was down to 1.138 euros.)
You guys who have mortgages have done pretty well over the past two years; now it's time for you to take up some of the shared pain.
So pull the finger out, Mervyn, and stick them up!