The British economy risks following the US into a slowdown unless interest rates are cut sharply in the next few months, one of the Bank of England's monetary policy committee members warns today, The Guardian reports.
In an interview with the Guardian, Professor David Blanchflower said the Bank needed to learn from the US federal reserve and take pre-emptive action to prevent growth from stalling. Blanchflower, who was the sole dissenter calling for another interest rate cut this month while his colleagues voted to leave rates steady at 5.5%, said: "Worrying about inflation at this time seems like fiddling while Rome burns." WALL STREET IS expecting the US Federal Reserve to cut interest rates by another half a percentage point to 3% when it meets tomorrow and on Wednesday, which would push down the ...
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