BoE Chief Economist Andy Haldane said while the central bank is doing the work to ensure a tool is in the tool box, “that is not remotely the same as saying that we are about to deploy that tool.” He added, “that will depend on the balance of costs and benefits”. The comments suggested that BoE is not near to using negative interest rates for the moment.
On the economy, Haldane said household spending has been “remarkably resilient” through the coronavirus pandemic. Also, spending had suffered relatively little from a second wave over the summer.
