He made the comments ahead of figures due out on Friday expected to confirm that the UK is no longer in recession.
Prime Minister Rishi Sunak has previously said that the economy had “turned a corner” - but many households’ budgets remain under pressure.
Earlier this week, Labour shadow chancellor, Rachel Reeves, accused the government of misleading people over the state of the economy, saying suggestions that the feel-good factor is returning were “completely out of touch with the realities on the ground”.
After the Bank of England held interest rates at 5.25% for the sixth time in a row on Thursday, Mr Bailey said he was “very encouraged” by easing price rises, but added the Bank had to see more evidence that inflation would fall to 2% and stay there before cuting interest rates.
The governor said the UK economy was now going into a “gradual growth phase” - not a “strong recovery” - but that there was “good news” in household incomes increasing.
He added households were “not feeling any uptick, when they are told by Conservatives ministers doing victory laps this week that the country has turned a corner, when it hasn’t”.
The original article contains 544 words, the summary contains 195 words. Saved 64%. I’m a bot and I’m open source!
This is the best summary I could come up with:
He made the comments ahead of figures due out on Friday expected to confirm that the UK is no longer in recession.
Prime Minister Rishi Sunak has previously said that the economy had “turned a corner” - but many households’ budgets remain under pressure.
Earlier this week, Labour shadow chancellor, Rachel Reeves, accused the government of misleading people over the state of the economy, saying suggestions that the feel-good factor is returning were “completely out of touch with the realities on the ground”.
After the Bank of England held interest rates at 5.25% for the sixth time in a row on Thursday, Mr Bailey said he was “very encouraged” by easing price rises, but added the Bank had to see more evidence that inflation would fall to 2% and stay there before cuting interest rates.
The governor said the UK economy was now going into a “gradual growth phase” - not a “strong recovery” - but that there was “good news” in household incomes increasing.
He added households were “not feeling any uptick, when they are told by Conservatives ministers doing victory laps this week that the country has turned a corner, when it hasn’t”.
The original article contains 544 words, the summary contains 195 words. Saved 64%. I’m a bot and I’m open source!