Mark Carney faced questions from MPs on the Treasury Select Committee this week, and defended the Bank of England’s stance ahead of the Brexit vote after criticism of his handling of the referendum outcome and the Bank’s decision to cut interest rates to a record low of 0.25%.
Carney told MPs that he felt the Bank took “timely, comprehensive and concrete” action and that he was “absolutely serene” regarding his position, which he feels has been validated since the June 23 referendum.
Carney went on to say that the Bank’s actions helped “make the leaving of the EU a success as quickly as possible… This financial system, under the oversight of the Bank of England, sailed through what was a surprise to the vast majority of financial market participants.”
There were also concerns raised that many mortgage lenders are yet to pass on the full cut in interest rates, Mr Carney said the Bank expected “virtually” all the rate cut to be passed on to borrowers in the next few months.
If you would like to talk to The Financial Planning Group about your post-Brexit investment strategy, please call 0800 731 7614 and we will be happy to arrange a meeting at our offices in the heart of Teddington.