Mel Stride, the Tory chairman of the Treasury Select Committee, said Liz Truss’s refusal to bring forward the publication of the Office for Budget Responsibility’s economic forecasts could mean interest rates would rise more than they would in another way.
Stride said it should be possible for the OBR to publish its report before the next meeting of the Bank of England’s rate-setting Monetary Policy Committee (MPC) on November 3.
“If he has a satisfactory OBR report before that meeting on November 3, I would imagine and hope that the rise in interest rates probably won’t be as high as it would be,” he told Sky’s Sophy Ridge On Sunday News.
“This report from the OBR, the fiscal targets, would have calmed the markets, there would be less concern about the inflationary impacts of government policy and therefore the MPC would potentially raise interest rates a bit less” .