Interest rates rise could derail recovery, Bank of England economist warns

Andy Haldane will use a speech on Tuesday to caution his fellow rate-setters at the Bank against rushing to tighten borrowing costs

Raising interest rates too soon from their record low to head off inflation could be a self-defeating move that tips the UK back into recession, Bank of England chief economist Andy Haldane is to warn.

Haldane will use a speech on Tuesday to caution his fellow rate-setters at the Bank against rushing to tighten borrowing costs after some policymakers in recent months have expressed fears that the return to wage growth will push up inflation.