You know my views.
Mervyn King and the MPC should have retired years ago. One moment we hear inflation is under control and the next it is not. The next moment we hear interest rates will stay low and then they will have to go up very soon.
The markets of course love this but patience is running thin. As we keep arguing, inflation is a killer and interest rates have to go up. The UK must put CGT on real estate for bricks and mortar do not create wealth in the long run.
(Image viral created Sept 2007 ...nothing changes then does it?)
UK Inflation 4.5% (bloomberg)
Mervyn King says rates to stay low on May 2, 2011 (mortgagestrategy)
Mervyn King to play Peter in Peter and the Wolf.