Bank of England should keep interest rates on hold, says policymaker

Jonathan Haskel says tight jobs market means inflation is likely to be higher than 2% target for quite some time'

A senior Bank of England policymaker has said Britain's battle against inflation remains incomplete, requiring interest rates to be kept at elevated levels for longer than expected in financial markets.

Pouring cold water on City predictions for a cut in rates in August, Jonathan Haskel said inflation was on course to return above the government's 2% target.