Thursday, June 26, 2008
Mervyn King briefing to Treasury Select Committee (TSC)
The governor of the Bank of England, Mervyn King, has told MPs he is confident that inflation will fall back to the government's 2% target. But an economic slowdown was needed to ensure inflation returned to the goal in the next year or so, Mr King said. He warned rising food and energy prices may push inflation above 4% this year. His Treasury Select Committee appearance comes a week after he wrote to the chancellor, explaining why inflation had hit 3.3%.