Reuters reports that Andy Haldane, the Bank of England's chief economist, said that the Bank of England must have a "laser focus" on keeping inflation expectations in check once the COVID-19 crisis eases.

"The last thing the world needs right now is a nasty inflation surprise," Haldane said.

Haldane told that any overshoot could not become entrenched otherwise bond yields would rise, pushing up the cost of repayments on Britain's 2 trillion-pound debt mountain and jeopardising any recovery.

He also said he was much more confident about the economy in the second half of 2021 than in the first quarter of the year because of the prospects for rolling out COVID-19 vaccines.