PSigma's Mott slams MPC's "inappropriate" rates policy

Mott outlined how domestic inflationary pressures are almost non-existent, while the risk of current inflationary trends feeding through to the secondary effects of wage-push inflation are no greater than if interest rates were to be cut. He said: "We would argue that a likely secondary inflationary push of increased wage demands are less likely if some pressure is being relieved via lower mortgage rates than if interest rates remain stubbornly at these levels. Therefore it looks increasingly likely that we are moving towards a point where either the economy will slump further or there w...