GDP surge should not blind us to the dangers of an interest rate rise
by Guardian Staff from on (#G62N)
Some on the monetary policy committee at the Bank of England are likely to press for increases, but the recovery remains weak
George Osborne has repeatedly promised to fix the roof while the sun is shining, and after official figures last week showed GDP growth picking up sharply in the second quarter, it seemed that the clouds have finally lifted.
With the Bank of England's policymakers due to meet on Thursday, the news that the slowdown in the first quarter was just a blip sent traders scrambling to price in an interest rate rise in the coming months.
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