IoD reaction to MPC decision

Dated: 7 July 2011

Commenting on the latest decision to leave interest rates on hold, Graeme Leach, Chief Economist at the IoD said:

“People seem to be getting bored with the MPC repeatedly leaving interest rates unchanged. But boring is good, the last thing we need is the excitement of a rate rise. We think the boring interest rate story needs to last for quite some time. At the beginning of 2010 we said there was a good chance interest rates wouldn’t rise for 3 years. That call still looks good. If monetary policy is to change, an extension in quantitative easing is the most likely outcome.”

ENDS

Contact Points

Edwin Morgan
Media Relations Manager
Institute of Directors, 116 Pall Mall, London SW1Y 5ED
Tel: +44 (0)20 7451 3392
Mob: +44 (0)7814 386 243
Email: edwin.morgan@iod.com
Website: www.iod.com/policy

Notes to editors

  • The IoD (Institute of Directors) was founded in 1903 and obtained a Royal Charter in 1906. The IoD is a non-party political organisation with upwards of 45,000 members in the United Kingdom and overseas. Membership includes directors from right across the business spectrum – from media to manufacturing, e-business to the public and voluntary sectors. Members include CEOs of large corporations as well as entrepreneurial directors of start-up companies.
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  • In addition, the IoD provides an effective voice to represent the interests of its members to government and key opinion-formers at the highest levels. These include ministers, constituency MPs, Select Committee members and senior civil servants. IoD policies and views are actively promoted to the national, regional and trade media.
  • For further information, visit our website: www.iod.com
  • You can also keep up to date with the latest views from the IoD on twitter.com/The_IoD and at blogs.iod.com