| Videos | Channels | Search |
Why I'm really concerned about UK inflation
Nick Beecroft has a real concern amid relatively good news about a UK recovery and that's inflation. The Chairman of Saxo Capital Markets fears it could spiral out of control not least because of the Bank of England's 'forward guidance' policy.
He explains there is a risk the current policies would lead to stagflation, where an inflation rate is high, the economic growth rate slows down, and unemployment remains steadily high.
BoE Governor Mark Carney launched 'forward guidance' to give the public and investors some sense of certainty over the future direction of monetary policy.
And another inflation concern for Nick is house price inflation. The latest data showed that British house prices are rising at their fastest pace in seven years, raising concerns that government lending incentives are creating a new property bubble.
01:22 minutes
Tags: bank of england, boe, boe governor mark carney, britain cpi, consumer price index, cpi, economic data, economic growth, economic policies, economy, forward guidance, house brices, house price inflation, housing market, inflation, macro, mark carney, monetary policy, property bubble, property market, saxo bank, saxo tv, stagflation, tradingfloor.com, uk economy, uk housing, uk inflation, unemployment, video