Hunt 'comfortable' with recession to bring down inflation

Chancellor has said that ‘inflation is a source of instability’

Cristian Angeloni
clock • 1 min read

Chancellor of the exchequer Jeremy Hunt said he would rather the UK fell into a recession than keep high inflation around for longer.

In an interview with Sky News, Hunt said he would fully support the Bank of England's (BoE) monetary policy decisions, even if it meant increasing interest rates to 5.5% to battle higher prices. When asked whether he was "comfortable with the BoE doing whatever it takes to bring down inflation, even if that potentially would precipitate a recession", Hunt said: "Yes, because in the end, inflation is a source of instability." The chancellor added: "And if we want to have prosperity, to grow the economy, to reduce the risk of recession, we have to support the BoE in the difficult decisi...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Far from the Madding Crowd: An investment moment in time

Far from the Madding Crowd: An investment moment in time

'Our hunt for undervalued shares takes us away from the crowd'

Ben Preston
clock 23 February 2024 • 3 min read
Abrdn debuts exclusive MPS with BoE base rate aligned return aim

Abrdn debuts exclusive MPS with BoE base rate aligned return aim

‘We have spent a lot of time talking to advisers about solutions’

Hope Coumbe
clock 21 February 2024 • 1 min read
Socially responsible investing index-based MPS range hits market

Socially responsible investing index-based MPS range hits market

Ebi Portfolios teams up with European asset management giant Amundi

Hope Coumbe
clock 20 February 2024 • 1 min read