In an unprecedented move, a member of the Bank of England's Monetary Policy Committee (MPC) has criticised the Bank for complacency and "wishful thinking", predicting that two million people will be out of work by Christmas and that house prices will fall by more than 30%, The Independent reports.
David Blanchflower, who has consistently warned of the perils facing the economy, attacked the Bank's current thinking. "To sit and worry about inflation expectations, rather than worry about the fact that the economy is going to go into a recession, seems to be misguided," he said. "People have to start to respond to the fact that we are in a recession and the danger is we'll be in a very serious and long-lasting recession unless we do something. This is a call to action." THE POUND HIT a 12-year low against its basket of currencies today as investors continued to dump sterling amid a...
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