Bank of England deputy governor Ramsden said he would be prepared to support a
rate rise if upward inflationary pressures continue. His remarks echo concerns
by other deputy governors that rising energy costs could trigger a wage‑price
spiral. The BoE's Monetary Policy Committee voted 6‑3 this month to hold Bank
Rate at 3.75% but warned inflation could peak around 4%—well above previous
forecasts and at a level warranting action. Markets price roughly a 25bp hike at
the November meeting. Ramsden said he remains focused on energy-cost pressure
from the Iran war, will watch for second-round effects in domestic food prices,
and will monitor the upcoming survey of firms’ planned pay adjustments.
