Monetary Policy Committee

Lord Strathclyde Excerpts

Wednesday 6th July 2011 Lords Chamber

[Lord Maples]

My Lords—

[Lord Strathclyde]

My Lords, we have time for both noble Lords. We can have the noble Lord, Lord Newby, and then the noble Lord, Lord Maples.

[Lord Newby]

My Lords, does the noble Lord agree that at a time when real incomes are falling, if the Bank of England Monetary Policy Committee were to raise interest rates now the principal effect would simply be to reduce growth and increase unemployment?

--- Later in debate ---

[Lord Maples]

My Lords, consumer price inflation is only one measure of inflation. May I suggest that if in the run-up to the crash the Monetary Policy Committee had been looking at asset price inflation—

[Lord Strathclyde]

My Lords, there are two noble Lords trying to speak. We are on 22 minutes and perhaps we should go on to the next Question.