Mr King argues that despite volatility in the international economy in recent years, the UK economy has seen greater stability, and achieved a post-war record of uninterrupted economic growth, falling unemployment and lower inflation. He notes that the recent stability of inflation owes much to the fact that economic shocks from overseas have tended to offset each other, and that it will not necessarily be easy in the period ahead to keep inflation within the 1% range within which it has moved in the last five years. However, he emphasises that the Monetary Policy Committee will always act to maintain stability by focusing on the 2 ½% inflation target.
Published on
21 February 2001
Press release