The Bank of England's (BoE) Monetary Policy Committee (MPC) has the tools and the resolve to return inflation to target in the medium term, BoE policymaker Jonathan Haskel said on Thursday, as reported by Reuters.

Key takeaways

"A sidelined Office for Budget Responsibility (OBR) generates more uncertainty by worsening everyone’s information base."

"We welcome the usual close involvement in the budget process of the OBR."

"Government is right to stress the importance of economic growth."

"Changes in labour force participation are emerging as the key economic legacy of covid in the UK."

"Rise in economic inactivity will hold UK growth back."

Market reaction

These comments failed to help the British pound find demand and the GBP/USD pair was last seen losing 1.25% on the day at 1.1184.