Bank of England edges closer to first interest rate rise in nine years

Two monetary policy committee members tell MPs increase is needed soon but governor still favours wait until end of year

The Bank of England has edged closer to its first interest rate rise in nine years after two policymakers told MPs an increase was needed soon to head off pay rise-induced inflation.

The UK is recovering in strength and is unlikely to be knocked off course by volatile global markets, the rate-setters said in an appearance at the Treasury select committee.