Bank chief’s report is just ‘meaningless words’

From: Clive Bailey, Stockton-on-Tees, Cleveland.

I HAD a wry smile on my face as I read your inflation forecast article (Yorkshire Post, February 14).

It illustrates a fine example of how one of our most powerful and influential figures often makes important statements which, upon examination, are revealed as completely meaningless. In the Bank of England’s latest quarterly inflation report its outgoing governor, Sir Mervyn King, states that he “hopes that the UK will avoid a triple-dip recession” but there is “cause for optimism” because “recovery is in sight”.

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How can recovery be in sight when there is still the possibility of further recession?

Over the past five years, inflation has been over the two per cent target for 90 per cent of the time.

Sir Mervyn now expects that inflation will rise further to three per cent or more by the summer and is not expected to fall back towards two per cent until 2016.

He refers to this eight-year period of above-target inflation as “temporary albeit protracted”.

This latest report from “Swervin’ Mervyn” contains a string of contradictory, meaningless words and statements which give the UK business community and potential foreign investors no help at all.

Let’s hope that Sir Mervyn’s replacement, Mark Carney, has a better understanding of the English language and that he will be able to write a report which actually makes sense.