We’re Looking at Negative Interest Rates, Bank of England’s Andy Haldane Says

THE TIMES: The Bank of England’s chief economist has indicated that emergency measures including negative interest rates could be on the cards to help alleviate the economic slump caused by the Covid-19 pandemic.

Andy Haldane said pushing interest rates below zero, as well as buying riskier assets under the central bank’s bond-purchase programme, could not be ruled out. “The economy is weaker than a year ago . . . so in that sense it’s something we’ll need to look at — are looking at — with somewhat greater immediacy,” Mr Haldane said in an interview with The Sunday Telegraph. “How could we not be?”

The comments will increase speculation over what would be an unprecedented move for the Bank. Interest rates are at 0.1 per cent,… » | James Hurley, Louisa Clarence-Smith | Monday, May 18, 2020 [£]