Bank of England member Green: Short-term prices rebound, but disinflation will continue

Disinflation in the UK will continue despite an acceleration in consumer price growth in the short term, the Bank of England's monetary policy commissioner told an economic conference on Saturday. "The process of disinflation is still ongoing, although inflation has actually picked up over the past few months and we expect it to continue to rise in the third quarter of this year," Green said. "Despite facing a short-term peak in prices, we expect inflation to continue to fall towards our 2 per cent target over the medium term," Green said. Green is seen as one of the Bank of England's most hawkish officials. While she supported a 25 basis point cut in interest rates to 4.25 per cent last month, she, like some other policymakers, preferred to leave borrowing costs unchanged. (Jin Ten)