Bank of England (BoE) Chief Economist Huw Pill and policymaker Jonathan Haskel are testifying before the UK Treasury Select Committee alongside Governor Andrew Bailey.

Key takeaways from Bailey's remarks

"We expect inflation to come down rapidly this year."

"We have a very tight labour market."

"Current high inflation reflects a very high level of first-round effects, not second-round effects."

"Base effects will put powerful negative trajectory on UK inflation this year."

"We are concerned about inflation persistence, this is why I've voted to raise rates."

Market reaction

Pound Sterling preserves its strength following these comments. As of writing, the GBP/USD pair was trading at 1.2136, gaining 0.55% on a daily basis.