Below is a summary of the 7 September meeting between the Chancellor and the Governor of the Bank of England.
The Bank of England Governor, Andrew Bailey, and the Chancellor, Kwasi Kwarteng, met today at HM Treasury to discuss the Bank’s mission to bring inflation under control.
The Chancellor reaffirmed the UK Government’s long-standing dedication to the independence of the Bank of England and its authority over monetary policy. The Chancellor and Governor agreed that addressing cost of living issues requires immediate control of inflation.
The Chancellor gave the Governor an update on his growth and fiscal plans, noting that reforms that foster high economic growth can help to reduce inflationary pressures.
In response to rising energy costs, he explained the government’s intentions to take action this week and emphasised that doing so would need short-term budgetary easing. The Chancellor reaffirmed the government’s commitment to seeing debt decline over the medium term.
The Chancellor and the Governor decided to work closely together to boost the economy over the next months and reinstate weekly meetings, initially beginning with biweekly sessions.