London Daily

Focus on the big picture.
Tuesday, Sep 16, 2025

Bank of England chief economist criticises government interaction with 'other institutions'

Bank of England chief economist criticises government interaction with 'other institutions'

Government would benefit from following the model of engagement shown by the ONS and Bank of England, Huw Pill said.
The chief economist at the Bank of England has criticised the lack of cooperation between Liz Truss's government and state economic institutions.

Huw Pill said that the country would have benefitted from increased cooperation among institutions.

Speaking at the Office of National Statistics (ONS) conference on understanding the cost of living through statistics, Mr Pill said: "In my view, we might have benefited in recent weeks if the interactions amongst other institutions had followed that pattern."

He had praise for the cooperation between official statisticians at the ONS and the Bank of England.

"That's a model for how macro policymakers in the UK should respect the institutional framework when they interact with one another," he said.

The Truss government had announced a mini-budget of unfunded tax cuts along with billions of pounds in spending on the energy price guarantee without consulting the Office of Budget Responsibility (OBR).

The independent office is consulted before budget announcements and provides economic forecasts that are used by bodies including the Bank of England.

The Bank had confirmed it was not notified of the content of the mini-budget announcement before it was presented to parliament on 23 September.

The announcement coupled with the lack of OBR consultation caused financial turmoil.

In the wake of the mini-budget, the pound sank to a record low against the dollar, resulting in increased costs for those importing goods.

Mortgage rates rose on the back of the financial uncertainty and concern the Bank of England would further increase interest rates to rein in inflation to its targeted 2% rate.

The cost of government borrowing also rose steeply and the Bank had to launch an emergency intervention to prevent a collapse in the pensions industry.

Mr Pill has become an unlikely critic of the government in the weeks following former chancellor Kwasi Kwarteng's mini-budget announcement.

He rebuked the government's claims that the economic fallout was due to global factors, such as the war in Ukraine, by stating that there was "undoubtedly a UK-specific component" to the market reaction.

The Bank and the government were effectively placed on a collision course as Ms Truss and her chancellor sought to ramp up growth with its tax slashing plan and the Bank attempted to depress growth through higher interest rates.

The vast majority of mini-budget measures were axed by the Chancellor Jeremy Hunt following the sacking of Mr Kwarteng.
Newsletter

Related Articles

0:00
0:00
Close
Charlie Kirk's murder will break the left's hateful cancel tactics
Kash Patel erupts at ‘buffoon’ Sen. Adam Schiff over Russiagate: ‘You are the biggest fraud’
Homeland Security says Emmy speech ‘fanning the flames of hatred’ after Einbinder’s ‘F— ICE’ remark
Charlie Kirk’s Alleged Assassin Tyler Robinson Faces Death Penalty as Charges Formally Announced
Actor, director, environmentalist Robert Redford dies at 89
The conservative right spreads westward: a huge achievement for 'Alternative for Germany' in local elections
JD Vance Says There Is “No Unity” with Those Who Celebrate Charlie Kirk’s Killing, and he is right!
Trump sues the 'New York Times' for an astronomical sum of 15 billion dollars
Florida Hospital Welcomes Its Largest-Ever Baby: Annan, Nearly Fourteen Pounds at Birth
U.S. and Britain Poised to Finalize Over $10 Billion in High-Tech, Nuclear and Defense Deals During Trump State Visit
China Finds Nvidia Violated Antitrust Laws in Mellanox Deal, Deepens Trade Tensions with US
US Air Force Begins Modifications on Qatar-Donated Jet Amid Plans to Use It as Air Force One
Pope Leo Warns of Societal Crisis Over Mega-CEO Pay, Citing Tesla’s Proposed Trillion-Dollar Package
Poland Green-Lights NATO Deployment in Response to Major Russian Drone Incursion
Elon Musk Retakes Lead as World’s Richest After Brief Ellison Surge
U.S. and China Agree on Framework to Shift TikTok to American Ownership
London Daily Podcast: London Massive Pro Democracy Rally, Musk Support, UK Economic Data and Premier League Results Mark Eventful Weekend
This Week in AI: Meta’s Superintelligence Push, xAI’s Ten Billion-Dollar Raise, Genesis AI’s Robotics Ambitions, Microsoft Restructuring, Amazon’s Million-Robot Milestone, and Google’s AlphaGenome Update
Le Pen Tightens the Pressure on Macron as France Edges Toward Political Breakdown
Musk calls for new UK government at huge pro-democracy rally in London, but Britons have been brainwashed to obey instead of fighting for their human rights
Elon Musk responds to post calling for the murder of Erika Kirk, widow of Charlie Kirk: 'Either we fight back or they will kill us'
Czech Republic signs €1.34 billion contract for Leopard 2A8 main battle tanks with delivery from 2028
USA: Office Depot Employees Refused to Print Poster in Memory of Charlie Kirk – and Were Fired
Proposed U.S. Bill Would Allow Civil Suits Against Judges Who Release Repeat Violent Offenders
Penske Media Sues Google Over “AI Overviews,” Claiming It Uses Journalism Without Consent and Destroys Traffic
Indian Student Engineers Propose “Project REBIRTH” to Protect Aircraft from Crashes Using AI, Airbags and Smart Materials
French Debt Downgrade Piles Pressure on Macron’s New Prime Minister
US and UK Near Tech, Nuclear and Whisky Deals Ahead of Trump Trip
One in Three Europeans Now Uses TikTok, According to the Chinese Tech Giant
Could AI Nursing Robots Help Healthcare Staffing Shortages?
NATO Deploys ‘Eastern Sentry’ After Russian Drones Violate Polish Airspace
Anesthesiologist Left Operation Mid-Surgery to Have Sex with Nurse
Tens of Thousands of Young Chinese Get Up Every Morning and Go to Work Where They Do Nothing
The New Life of Novak Djokovic
The German Owner of Politico Mathias Döpfner Eyes Further U.S. Media Expansion After Axel Springer Restructuring
Suspect Arrested: Utah Man in Custody for Charlie Kirk’s Fatal Shooting
In a politically motivated trial: Bolsonaro Sentenced to 27 Years for Plotting Coup After 2022 Defeat
German police raid AfD lawmaker’s offices in inquiry over Chinese payments
Turkish authorities seize leading broadcaster amid fraud and tax investigation
Volkswagen launches aggressive strategy to fend off Chinese challenge in Europe’s EV market
ChatGPT CEO signals policy to alert authorities over suicidal youth after teen’s death
The British legal mafia hit back: Banksy mural of judge beating protester is scrubbed from London court
Surpassing Musk: Larry Ellison becomes the richest man in the world
Embarrassment for Starmer: He fired the ambassador photographed on Epstein’s 'pedophile island'
Manhunt after 'skilled sniper' shot Charlie Kirk. Footage: Suspect running on rooftop during panic
Effective Protest Results: Nepal’s Prime Minister Resigns as Youth-Led Unrest Shakes the Nation
Qatari prime minister says Netanyahu ‘killed any hope’ for Israeli hostages
King Charles and Prince Harry Share First In-Person Moment in 19 Months
Starmer Establishes Economic ‘Budget Board’ to Centralise Policy and Rebuild Business Trust
France Erupts in Mass ‘Block Everything’ Protests on New PM’s First Day
×