While speaking on the sidelines of the annual International Monetary Fund (IMF) meeting on Thursday, Bank of England Chief Economist Huw Pill said it was a finely balanced issue whether the Bank of England needed to tighten the policy further, per Reuters.

"We have done a lot over the last two years. A lot of that policy is still to come through," Pill explained.

"Whether we've done enough - or whether we have more to do - I think is becoming a more finely balanced issue," he added and reiterated that they will do what they need to do to have inflation at 2% on a lasting basis.

Market reaction

GBP/USD showed no immediate reaction to these comments and the pair was last seen moving sideways in a narrow channel at around 1.2300.