We use cookies on this site to improve your experience and help us provide you with a better website. An explanation of the cookies we use and their purpose can be found within our Cookie Policy. Your continued use of this site means you consent to the use of cookies.

October 2016

Plunging Pound is a “shock absorber” says BoE deputy

Published: Monday 17 October 2016

Bank of England deputy governor Ben Broadbent spoke on BBC radio 5 lives this morning and stated the recent fall in Sterling has acted as a ‘shock absorber’ for the economy. He told BBC Radio 5 live that having a flexible currency was "extremely important" to cope with shocks.

He added the Bank would not intervene to boost the Pound's value after Sterling has now fallen nearly 20% against the Dollar since the referendum. Bank governor Mark Carney said on Friday that Sterling's weakness would lead to higher prices, a finding that has since been underlined in a report released by Ernst and young.

Latest FX news by Michael Hart